What law governs the Caption By Hyatt franchise agreement?
Caption_By_Hyatt Franchise · 2025 FDDAnswer from 2025 FDD Document
All matters relating to arbitration will be governed by the Federal Arbitration Act (9 U.S.C. Sections 1 et seq.). Except to the extent governed by the Federal Arbitration Act, the United States Trademark Act of 1946 (Lanham Act, 15 U.S.C. Sections 1051 et seq.) or other federal law, and except as otherwise required by law for any claims arising under the Rhode Island Franchise Investment Act, this Agreement, the franchise, and all claims arising from the relationship between Hyatt (and/or any of its Affiliates) and Franchisee will be governed by the laws of the State of Illinois, without regard to its conflict of laws rules, except that any Illinois law regulating the offer or sale of franchises, business opportunities, or similar interests, or governing the relationship between a franchisor and a franchisee or any similar relationship, will not apply unless its jurisdictional requirements are met independently without reference to this Section.
Source: Item 23 — Receipts (FDD pages 85–349)
What This Means (2025 FDD)
According to the 2025 Caption By Hyatt Franchise Disclosure Document, the franchise agreement is generally governed by the laws of the State of Illinois. However, this is subject to certain exceptions and qualifications.
Specifically, matters relating to arbitration are governed by the Federal Arbitration Act. Additionally, the United States Trademark Act of 1946 (Lanham Act) or other federal law may apply. The laws of Rhode Island will govern any claims arising under the Rhode Island Franchise Investment Act, to the extent required by law.
It's important to note that any Illinois law regulating the offer or sale of franchises, business opportunities, or similar interests, or governing the relationship between a franchisor and a franchisee will not apply unless its jurisdictional requirements are met independently. This means that while Illinois law generally applies, specific franchise-related laws within Illinois might not be applicable unless certain conditions are met without relying on this particular section of the agreement.