For a Card My Yard franchise operating in Rhode Island, where will litigation be commenced and maintained?
Card_My_Yard Franchise · 2025 FDDAnswer from 2025 FDD Document
RHODE ISLAND
Notwithstanding anything to the contrary set forth in theFranchise Agreement,the following provision will supersede and apply to all franchises offered and sold in the State of Rhode Island:
- To the extent that Article XX of the Franchise Agreement would otherwise violate Rhode Island law, these sections are amended by providing that all litigation by or between you and us, involving a business operating in the State of Rhode Island, will be commenced and maintained, at our election, in the state courts of Rhode Island or the United States District Court for Rhode Island, with the specific venue in either court system determined by appropriate jurisdiction and venue requirements.
Source: Item 23 — RECEIPTS (FDD pages 84–259)
What This Means (2025 FDD)
According to Card My Yard's 2025 Franchise Disclosure Document, the location for commencing and maintaining litigation for a Card My Yard franchise operating in Rhode Island is subject to specific provisions that supersede the standard franchise agreement.
Specifically, any litigation between the franchisee and Card My Yard involving a business operating in Rhode Island will be commenced and maintained, at Card My Yard's election, in either the state courts of Rhode Island or the United States District Court for Rhode Island. The specific venue within either court system will be determined based on appropriate jurisdiction and venue requirements.
This clause ensures that legal disputes are handled within the Rhode Island court system if Card My Yard chooses, which could be more convenient and cost-effective for both parties given the location of the business. However, the franchisee should be aware that the choice of venue ultimately lies with Card My Yard.