When resolving disputes with Bor Restoration, are conflict of law provisions considered?
Bor_Restoration Franchise · 2024 FDDAnswer from 2024 FDD Document
- a. Any meeting, mediation, or arbitration will be conducted exclusively at a neutral location within 15 miles of our then-current headquarters without regard to conflict of law provisions or forum nonconveniens demand to the contrary and to the exclusion of any other jurisdiction or venue.
- b. The arbitrator in any proceeding under this Article will apply all Applicable Laws and equity permitted under the laws of the state in which our headquarters is then located without regard to conflicts of law provisions and to the exclusion of the laws of another state.
Source: Item 23 — Receipts (FDD pages 40–202)
What This Means (2024 FDD)
According to Bor Restoration's 2024 Franchise Disclosure Document, conflict of law provisions are not considered during dispute resolution. The FDD states that any meeting, mediation, or arbitration will occur at a neutral location within 15 miles of Bor Restoration's headquarters, without regard to conflict of law provisions.
Furthermore, the arbitrator is required to apply all applicable laws and equity permitted under the laws of the state where Bor Restoration's headquarters is located, again without considering conflicts of law. This means that the laws of the state where the headquarters is located will govern the dispute, regardless of whether the franchisee's business is located in a different state.
This could have significant implications for a franchisee if the laws of their state are more favorable to their position in a dispute. By excluding conflict of law provisions, Bor Restoration ensures that disputes are resolved under the legal framework of its headquarters' location, which may be advantageous to them. Franchisees should be aware of this provision and understand how it might affect their rights and obligations in the event of a dispute.