Under what circumstances is this rider being signed for Capriottis Sandwich Shop franchisees?
Capriottis_Sandwich_Shop Franchise · 2025 FDDAnswer from 2025 FDD Document
greement:
However, to the extent required by applicable law, but subject to Franchisee's arbitration obligations, Franchisee may bring an action in North Dakota.
- WAIVER OF JURY TRIAL. If and then only to the extent required by the North Dakota Franchise Investment Law, the last paragraph of Section 26 of the Franchise Agreement is deleted.
IN WITNESS WHEREOF, each party has caused its duly authorized representative to sign and deliver this Rider on the date first above written.
CAPRIOTTI'S SANDWICH SHOP, INC. Name: David Bloom Title: CDO
RIDER TO THE CAPRIOTTI'S SANDWICH SHOP, INC. FRANCHISE AGREEMENT FOR USE IN RHODE ISLAND
| This Rider (the "Rider") is made this, 20, by and between CAPRIOTTI'S SANDWICH SHOP, INC., a Nevada corporation having its principal place of business at 6056 South Durango Drive, Suite 100, Las Vegas, Nevada 89113 ("Franchisor"), and , a corporation having its principal place of business at ("Franchisee"). |
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| 1. |
| BACKGROUND. |
Source: Item 23 — RECEIPTS (FDD pages 73–303)
What This Means (2025 FDD)
According to the 2025 Capriottis Sandwich Shop FDD, a rider to the franchise agreement is required under specific circumstances primarily related to the franchisee's location or domicile. For instance, if a franchisee is domiciled in Rhode Island, and the Capriottis Sandwich Shop they will operate is also located in Rhode Island, a rider is added to the franchise agreement. This also applies if any part of the franchise offer or sales activity occurred in Rhode Island. This ensures compliance with the Rhode Island Franchise Investment Act.
Similarly, there are specific riders for franchisees in other states like Maryland, Minnesota, New York, and Virginia. These riders address specific state laws and regulations, such as the Maryland Franchise Registration and Disclosure Law or Minnesota Statutes Chapter 80c. The riders modify certain sections of the standard franchise agreement to align with these state-specific legal requirements. For example, the Minnesota rider clarifies that the franchisor cannot require litigation to be conducted outside of Minnesota, protecting the franchisee's rights under Minnesota law.
In essence, these riders serve to tailor the franchise agreement to the legal landscape of the specific state where the franchisee is located or resides. This ensures that Capriottis Sandwich Shop and its franchisees comply with local laws, particularly concerning franchise offers, sales activities, and franchisee rights. Prospective franchisees should carefully review any state-specific riders to understand how their franchise agreement is modified to comply with local regulations, and consult with a legal professional to fully understand their rights and obligations.