What law governs the Buildingstars Franchise Agreement?
Buildingstars Franchise · 2025 FDDAnswer from 2025 FDD Document
ther number, singular or plural, and any other gender, masculine, feminine, or neuter, as the context or sense of the Agreement or any section, paragraph, or clause herein may require, as if such words had been fully and properly written in the appropriate number and gender. Headings and paragraph titles are for convenience of reference only and shall not define, limit, or extend the scope or intent of this Agreement or any provision thereof.
- H. Governing Law and Jurisdiction. FRANCHISEE acknowledges that this Agreement was accepted in the State of Missouri. Except to the extent that this Agreement or any particular dispute is governed by the U.S. Trademark Act of 1946 (Lanham Act, 115 U.S.C. 1051), this Agreement will be governed, to the extent permissible, by the laws of the State of Missouri (without reference to its conflict of laws principles). If, however, any provision of this Agreement would not be enforceable under the laws of Missouri, and if the Business is located outside of Missouri and the provision would be enforceable under the laws of the state in which the Business is located, then the provision in question (and only that provision) will be interpreted and construed under the laws of the state where the Business is located.
Source: Item 22 — CONTRACTS (FDD page 43)
What This Means (2025 FDD)
According to Buildingstars's 2025 Franchise Disclosure Document, the Franchise Agreement is generally governed by the laws of the State of Missouri. This means that Missouri law will be used to interpret and enforce the agreement, except for disputes governed by the U.S. Trademark Act of 1946 (Lanham Act). Franchisees acknowledge that the agreement was accepted in Missouri.
However, there is an exception: if any provision of the Buildingstars Franchise Agreement is unenforceable under Missouri law, and the franchisee's business is located outside of Missouri, the law of the state where the business is located will govern that specific provision, but only that provision. This ensures that the agreement complies with local laws in the franchisee's state, if applicable.
Buildingstars can initiate legal actions related to the Franchise Agreement in Missouri state or federal courts, and franchisees consent to the jurisdiction and venue of those courts. Franchisees also waive any objections to the application of Missouri law in these courts. This clause establishes a clear legal framework for resolving disputes, but it's important for franchisees to understand that they may be subject to litigation in Missouri, regardless of their business location.