factual

Can a Canopy Lawn Care franchisee object to personal jurisdiction in the Commonwealth of Virginia?

Canopy_Lawn_Care Franchise · 2025 FDD

Answer from 2025 FDD Document

Therefore, if a claim is asserted in any legal proceeding involving Franchisee, its officers or directors and Franchisor, its officers, directors, shareholders, members, employees or Affiliates both parties agree that the venue for disputes between them shall be in the Commonwealth of Virginia and each waive any objection either may have to the personal jurisdiction of or venue in the Commonwealth of Virginia. However, Franchisor reserves the right to file any claims it may have against Franchisee in the federal or state court where the Business is located.

Source: Item 22 — CONTRACTS (FDD page 55)

What This Means (2025 FDD)

According to Canopy Lawn Care's 2025 Franchise Disclosure Document, a franchisee generally waives the right to object to personal jurisdiction or venue in the Commonwealth of Virginia for disputes with the franchisor. This means that if Canopy Lawn Care sues a franchisee, the lawsuit will take place in Virginia, and the franchisee cannot argue that Virginia is an inconvenient or improper location. This applies to legal proceedings involving the franchisee, its officers, or directors, and Canopy Lawn Care, its officers, directors, shareholders, members, employees, or affiliates.

However, Canopy Lawn Care retains the right to file claims against the franchisee in the federal or state court where the franchisee's business is located. This creates an exception to the general rule, allowing Canopy Lawn Care to sue the franchisee in the franchisee's home jurisdiction, while the franchisee is bound to litigate in Virginia if they were to initiate the suit.

This clause is designed to promote stability in the relationship between Canopy Lawn Care and its franchisees by establishing a clear forum for dispute resolution. Franchisees should be aware of this provision and understand that they are agreeing to litigate disputes in Virginia, which may involve additional travel and legal expenses if the franchisee is not located in Virginia.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.