Do the parties waive their right to a jury trial in any action related to the Bft agreement?
Bft Franchise · 2025 FDDAnswer from 2025 FDD Document
- H. 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 DEVELOPER'S PURCHASE FROM FRANCHISOR OF THE DEVELOPMENT RIGHTS AND/OR ANY GOODS OR SERVICES.
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- Waiver of Punitive Damages; Jury Trial. If and then only to the extent required by the Minnesota Franchises Law, Sections 12.G (Waiver of Punitive Damages) and 12.H (Waiver of Jury Trial) of the Multi-Unit Agreement are hereby deleted.
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- Waiver of Jury Trial. To the extent required by the North Dakota Franchise Investment Law, Section 12.H (Waiver of Jury Trial) of the Multi-Unit Agreement is deleted.
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 57–66)
What This Means (2025 FDD)
According to the 2025 FDD, Bft's franchise agreement includes a clause where both parties waive their right to a jury trial in any action, proceeding, or counterclaim related to the agreement. This waiver applies to any matter arising from the agreement, the performance of either party, and the franchisee's purchase of development rights, goods, or services from Bft. This means that any disputes will be resolved by a judge rather than a jury.
However, this waiver is not absolute. A rider to the Bft Multi-Unit Agreement for use in Minnesota states that the jury trial waiver is deleted to the extent required by the Minnesota Franchises Law. Similarly, for agreements in North Dakota, the jury trial waiver is deleted to the extent required by the North Dakota Franchise Investment Law. These state-specific provisions indicate that the enforceability of the jury trial waiver may vary depending on the franchisee's location and the applicable state laws.
For prospective Bft franchisees, this means carefully reviewing the franchise agreement and any state-specific riders to understand the extent to which the jury trial waiver applies in their specific jurisdiction. Franchisees should seek legal counsel to fully understand their rights and options in case of a dispute with Bft. While the standard agreement includes a waiver, state laws may provide exceptions or limitations that could impact the franchisee's ability to pursue a jury trial.