Does the Buona franchise agreement prevent either Buona or the franchisee from seeking injunctive relief from a court?
Buona Franchise · 2025 FDDAnswer from 2025 FDD Document
h waive their rights to a trial by jury.
- 24.6 Cumulative Remedies. No right or remedy herein conferred upon or reserved to Franchisor is exclusive of any other right or remedy herein, or by law or equity provided or permitted; but each shall be cumulative of any other right or remedy provided in this Agreement.
- 24.7 Injunctive Relief. Notwithstanding the above arbitration provisions, Franchisor and Franchisee will each have the right in a proper case to seek injunctive relief and any damages incidental thereto from a court of competent jurisdiction. Franchisee agrees that Franchisor may obtain this injunctive relief, without posting a bond or bonds in excess of a total of One Thousand Dollars ($1,000.00), but upon due notice, and Franchisee's sole remedy in the event of the entry of any injunctive relief will be the dissolution of the inj
Source: Item 22 — CONTRACTS (FDD page 78)
What This Means (2025 FDD)
According to Buona's 2025 Franchise Disclosure Document, neither Buona nor the franchisee are prevented from seeking injunctive relief from a court of competent jurisdiction. Specifically, the franchise agreement states that both Buona and the franchisee retain the right to seek injunctive relief and any related damages in appropriate cases, despite any arbitration provisions that may be in place.
For Buona, the franchise agreement outlines specific instances where they can seek injunctive relief, such as enforcing non-disclosure and non-competition obligations, preventing actions that violate laws or harm the brand's goodwill, preventing irreparable harm to their interests, enforcing obligations upon termination or expiration of the agreement, and prohibiting unauthorized assignment of interests. If Buona obtains such relief, the franchisee is responsible for covering all associated costs, including attorney's fees and damages resulting from any breach. The franchisee also waives any claims for damages if the injunction is later deemed improperly issued.
The franchisee's ability to seek injunctive relief is more generally stated as applying "in a proper case." However, the franchisee also agrees that Buona can obtain injunctive relief with a bond not exceeding $1,000, provided due notice is given. The franchisee's sole recourse if an injunction is entered is to seek its dissolution, and they waive any claims for damages resulting from the injunction's wrongful issuance. This arrangement is fairly typical in franchising, where the franchisor needs to protect its brand standards and intellectual property, but the franchisee also needs some recourse against potential overreach.