Does the jury trial waiver in the Bft agreement extend to the franchisee's purchase of goods or services from the franchisor?
Bft Franchise · 2025 FDDAnswer from 2025 FDD Document
- 16.8 WAIVER OF JURY TRIAL. THE PARTIES HEREBY AGREE TO WAIVE THEIR RIGHT TO TRIAL BY JURY IN ANY ACTION, PROCEEDING OR COUNTERCLAIM, WHETHER AT LAW OR EQUITY, REGARDLESS OF WHICH PARTY BRINGS SUIT.
THIS WAIVER SHALL APPLY TO ANY MATTER WHATSOEVER BETWEEN THE PARTIES HERETO WHICH ARISES OUT OF OR IS RELATED IN ANY WAY TO THIS AGREEMENT, THE PERFORMANCE OF EITHER PARTY, AND/OR FRANCHISEE'S PURCHASE FROM FRANCHISOR OF THE FRANCHISE AND/OR ANY GOODS OR SERVICES.
Source: Item 23 — RECEIPTS (FDD pages 79–265)
What This Means (2025 FDD)
According to Bft's 2025 Franchise Disclosure Document, the jury trial waiver extends to the franchisee's purchase of goods or services from Bft. The agreement states that both parties waive their right to a jury trial in any action, proceeding, or counterclaim, regardless of who brings the suit.
This waiver applies to any matter between Bft and the franchisee that arises out of or is related to the franchise agreement. It specifically includes the franchisee's purchase of the franchise itself, as well as any goods or services they purchase from Bft. This means that if a dispute arises over the terms of the franchise agreement or the goods and services purchased, neither party can demand a jury trial; the dispute would be resolved by a judge.
This is a significant provision for prospective Bft franchisees. Jury trials can be more complex and expensive than bench trials (trials before a judge only). By agreeing to this waiver, franchisees give up the right to have their case decided by a jury of their peers. Franchisees should consider the implications of this waiver carefully, especially if they anticipate potential disputes with Bft regarding the franchise agreement or required purchases. It is a fairly common practice in franchising to include jury trial waivers.