Where will legal proceedings not subject to arbitration take place for Care Plus Medical Ucc?
Care_Plus_Medical_Ucc Franchise · 2024 FDDAnswer from 2024 FDD Document
| Provision | Section in franchise | Summary |
|---|---|---|
| or other agreement | ||
| v. Choice of forum | Arbitration will take place where our | |
| headquarters is located (currently, Carson, | ||
| California) (subject to applicable state law). | ||
| Any legal proceedings not subject to arbitration | ||
| will take place in the District Court of the | ||
| United States, in the district where our | ||
| headquarters is then located, or if this court | ||
| lacks jurisdiction, the state courts of the state | ||
| and county where our headquarters is then | ||
| located (subject to applicable state law). |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER, AND DISPUTE RESOLUTION (FDD pages 33–37)
What This Means (2024 FDD)
According to Care Plus Medical Ucc's 2024 Franchise Disclosure Document, any legal proceedings not subject to arbitration will take place in specific courts, subject to applicable state law. The primary venue is the District Court of the United States in the district where Care Plus Medical Ucc's headquarters is located.
However, if the District Court lacks jurisdiction, the legal proceedings will occur in the state courts of the state and county where Care Plus Medical Ucc's headquarters is located. Currently, Care Plus Medical Ucc's headquarters is in Carson, California, so this would likely mean the relevant Federal District Court or the state courts of California, in the county where Carson is located.
This is a standard clause in franchise agreements, establishing the legal jurisdiction for disputes that are not resolved through arbitration. It is important for prospective franchisees to understand that they may be required to litigate in California, which could involve significant travel and legal expenses if they reside outside of California.