Which section in the Bonchon Franchise Agreement addresses dispute resolution?
Bonchon Franchise · 2025 FDDAnswer from 2025 FDD Document
| Provision | Section in Franchise Agreement* | Summary |
|---|---|---|
| u. Dispute resolution | N/A | No provision for arbitration or mediation. |
| by arbitration or | ||
| mediation | ||
| v. Choice of forum | Section 32.04 | Litigation must be in New York, New York, except that we may bring an action for an injunction in any court with jurisdiction (see Franchise Agreement). (Subject to state law.) |
| w. Choice of law | Section 32.03 | New York law applies. Your state law may supersede this provision and it may not be enforceable in your state. (Subject to state law.) |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION THE FRANCHISE RELATIONSHIP (FDD pages 71–81)
What This Means (2025 FDD)
According to Bonchon's 2025 Franchise Disclosure Document, Section 32.04 of the Franchise Agreement outlines the choice of forum for litigation. Specifically, litigation must occur in New York, New York. However, Bonchon retains the right to pursue injunctions in any court that has jurisdiction.
Furthermore, the Bonchon Franchise Agreement indicates in Section 32.03 that New York law governs the agreement. However, the FDD notes that the franchisee's state law may supersede this provision, potentially rendering it unenforceable in their specific state.
It is important to note that the Bonchon Franchise Agreement does not include any provisions for dispute resolution through arbitration or mediation. This means that any disputes arising between the franchisee and Bonchon will likely need to be resolved through litigation in the specified forum, unless otherwise dictated by local state laws.