Does the Caption By Hyatt franchisee waive objections to jurisdiction or venue in the specified courts?
Caption_By_Hyatt Franchise · 2025 FDDAnswer from 2025 FDD Document
- 14.3 Consent to Jurisdiction.
Subject to the parties' arbitration obligations and the provisions below, Franchisee agrees that all actions arising under this Agreement or otherwise as a result of the relationship between Franchisee and Hyatt (and/or any of its Affiliates) must be commenced in the state or federal court of general jurisdiction closest to Hyatt's then current principal business address, and Franchisee irrevocably submits to the jurisdiction of those courts and waives any objection it might have to either the jurisdiction of or venue in those courts.
Nonetheless, Franchisee agrees that Hyatt may enforce this Agreement and any arbitration orders and awards in the courts of the state or states in which Franchisee is domiciled or the Hotel is located.
Source: Item 22 — Contracts (FDD page 85)
What This Means (2025 FDD)
According to the 2025 Caption By Hyatt Franchise Disclosure Document, the franchisee agrees that any legal actions arising from the franchise agreement must be initiated in the state or federal court closest to Hyatt's principal business address. The franchisee irrevocably submits to the jurisdiction of those courts.
This means a Caption By Hyatt franchisee waives any objection to the jurisdiction or venue of those specific courts. However, Hyatt retains the right to enforce the agreement in the courts of the state where the franchisee is domiciled or where the hotel is located.
This clause is fairly standard in franchise agreements, as it establishes a clear venue for legal disputes. It is important for prospective franchisees to understand that they may be required to litigate disputes in a location that is not their home jurisdiction.