Does a party consent to the jurisdiction of the specified courts for Bombs Away legal proceedings?

According to Bombs Away's 2024 Franchise Disclosure Document, for any legal proceeding not required to be submitted to arbitration, both parties agree that such proceedings will be brought in the United States District Court where Bombs Away Franchising's headquarters is located. If there is no federal jurisdiction, the proceedings will occur in the court of record of the state and county where Bombs Away Franchising's headquarters is located. The document states that each party consents to the jurisdiction of these courts.

This means that franchisees are agreeing to have certain legal disputes resolved in a specific court system, which could be advantageous to Bombs Away due to its proximity to the venue. Franchisees waive any objection to the venue of these courts. This could potentially create additional costs for the franchisee if they need to travel to the location of Bombs Away's headquarters for court proceedings.

It is important to note that this consent applies only to legal proceedings not required to be submitted to arbitration. The FDD outlines that certain disputes must be resolved through arbitration, a process that takes place outside of the court system. Franchisees should understand the distinction between disputes that will be arbitrated and those that will be litigated in court, as the venue and procedures will differ.

Prospective franchisees should carefully consider the implications of consenting to jurisdiction and venue in a specific location, especially if they are located far from Bombs Away's headquarters. They may want to consult with an attorney to fully understand their rights and obligations under the franchise agreement.