Are there any exceptions to the choice of law for the Brightstar Care Franchise Agreement?
Brightstar_Care Franchise · 2025 FDDAnswer from 2025 FDD Document
| w. Choice of law | 22 14 of Expansion Option Agreement | Illinois law applies (subject to state law). |
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- GOVERNING LAW. The following sentence is added to the end of Section 22 of the Franchise Agreement:
However, to the extent required by applicable law, Maryland law will apply to claims arising under the Maryland Franchise Registration and Disclosure Law.
With respect to franchises governed by Minnesota law, BrightStar Franchising, LLC will comply with Minnesota Statute § 80C.14, subdivisions 3, 4, and 5 which requires, except in certain specified cases, that you be given 90 days' notice of termination (with 60 days to cure) and 180 days' notice for non-renewal of the Franchise Agreement.
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- Any provision in the Franchise Agreement that is inconsistent with the New York General Business Law, Article 33, Section 680 - 695 may not be enforceable.
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- The provisions of this Addendum form an integral part of and are incorporated into the Franchise Agreement. This addendum is being signed because: (a) Franchisee is a resident of the State of North Dakota and the BrightStar Care Agency that Franchisee will operate under the Franchise Agreement will be located or operated in North Dakota, or (b) any of the franchise offer or sales activity occurred in North Dakota.
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- The following sentence is added to the end of Sections 2.2, 12.4.9, and 12.7:
Any release executed will not apply to the extent otherwise prohibited by applicable law with respect to claims arising under the North Dakota Franchise Investment Law.
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 81–92)
What This Means (2025 FDD)
According to Brightstar Care's 2025 Franchise Disclosure Document, the Franchise Agreement is generally governed by Illinois law. However, there are exceptions to this rule depending on the franchisee's location. Specifically, if a Brightstar Care franchise is offered or sold in Maryland, or if the franchisee is a resident of Maryland, Maryland law will apply to claims arising under the Maryland Franchise Registration and Disclosure Law to the extent required by applicable law. Similarly, for franchises governed by Minnesota law, Brightstar Care will comply with Minnesota Statute § 80C.14, subdivisions 3, 4, and 5 regarding termination and non-renewal notices.
Additionally, for franchisees in New York, any provision in the Franchise Agreement that is inconsistent with the New York General Business Law, Article 33, Section 680 - 695 may not be enforceable. Brightstar Care will also comply with North Dakota law for franchisees residing in North Dakota or if the Brightstar Care Agency will be located or operated in North Dakota. Any release executed will not apply to the extent otherwise prohibited by applicable law with respect to claims arising under the North Dakota Franchise Investment Law.
These exceptions ensure that Brightstar Care franchisees are protected by the franchise laws of their respective states, regardless of the general choice of law provision in the Franchise Agreement. Prospective franchisees should carefully review the addenda applicable to their state to understand their rights and obligations under state law.