In what jurisdiction must lawsuits against Brueggers Bagels be filed?
Brueggers_Bagels Franchise · 2025 FDDAnswer from 2025 FDD Document
| Provision | Section in Franchise Agreement or License Agreement | Summary |
|---|---|---|
| v. Choice of forum | Section 28.2 of the Franchise Agreement; Section 14.7 of the License Agreement | Subject to state law, lawsuits must be filed in the jurisdiction where we have our principal place of business. As of the date of this disclosure document, our principal place of business is in Denver, Colorado. |
| Provision | Section in Development Agreement | Summary |
| --- | --- | --- |
| v. Choice of forum | Section 20.2 | Subject to state law, litigation must be filed where we have our principal place of business. As of the date of this disclosure document, our principal place of business is in Denver, Colorado. |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 49–54)
What This Means (2025 FDD)
According to Brueggers Bagels's 2025 Franchise Disclosure Document, lawsuits against the company must be filed in the jurisdiction where Brueggers Bagels has its principal place of business. As of the date of the 2025 FDD, Brueggers Bagels's principal place of business is located in Denver, Colorado. This applies to both the Franchise Agreement and the Development Agreement, but is subject to applicable state laws.
This means that if a franchisee has a legal dispute with Brueggers Bagels, they will likely need to pursue the matter in Colorado, regardless of where the franchise is located. This could involve significant travel and legal expenses for a franchisee located outside of Colorado. Franchisees should factor these potential costs into their assessment of the franchise opportunity.
Choice of forum clauses are common in franchise agreements, as they provide the franchisor with a consistent legal environment. However, franchisees should be aware of the potential implications of such clauses and seek legal advice to understand their rights and obligations under the franchise agreement. Prospective franchisees should consider negotiating this clause or understanding the implications before signing the agreement.