For a Browns Chicken franchise in Illinois, is a franchise agreement provision designating jurisdiction or venue outside of Illinois valid?

According to the 2025 Browns Chicken Franchise Disclosure Document, Illinois law governs the agreements between the parties to the franchise agreement. For Browns Chicken franchises in Illinois, any provision in the franchise agreement that designates jurisdiction or venue outside of Illinois is considered void under Section 4 of the Illinois Franchise Disclosure Act. This means that if a dispute arises and litigation is necessary, the case must be heard in Illinois, protecting the franchisee's access to local courts and legal resources.

However, there is an exception to this rule. The Browns Chicken franchise agreement may include a provision for arbitration to occur outside of Illinois. Arbitration is a method of alternative dispute resolution where a neutral third party hears both sides of a dispute and makes a binding decision. While the location of court proceedings is restricted to Illinois, Browns Chicken can stipulate that arbitration take place elsewhere.

Furthermore, Section 41 of the Illinois Franchise Disclosure Act states that any condition, stipulation, or provision that attempts to bind a person acquiring a Browns Chicken franchise to waive compliance with the Illinois Franchise Disclosure Act or any other Illinois law is void. This ensures that franchisees cannot unknowingly or unwillingly give up their rights under Illinois law. These protections are designed to safeguard the interests of franchisees operating within the state.