In which county in Texas must litigation occur for disputes arising from the C12 Group agreement?

According to the 2025 C12 Group Franchise Disclosure Document, if any dispute regarding the franchise agreement results in litigation, all parties must consent to the exclusive jurisdiction of the state court of Texas located in Bexar County, Texas. This means that any lawsuit against C12 Group related to the franchise agreement must be filed and litigated in Bexar County, Texas, regardless of where the franchisee is located.

This requirement could create additional expenses and logistical challenges for franchisees located outside of Texas, as they would need to travel to Bexar County for court proceedings and potentially hire local counsel. It is a common practice for franchise agreements to specify a particular jurisdiction for dispute resolution, often the location of the franchisor's headquarters.

However, it is important to note that certain states, such as North Dakota and Minnesota, have addenda that may modify this requirement. For example, the North Dakota addendum states that franchisees are not required to consent to the jurisdiction of the courts in Texas and may fall under the jurisdiction of the courts in North Dakota. Similarly, the Minnesota addendum prohibits C12 Group from requiring litigation to be conducted outside Minnesota for franchises governed by Minnesota law. Therefore, prospective franchisees should carefully review any state-specific addenda to the franchise agreement to understand their rights and obligations regarding dispute resolution.