What article of the Casiola Franchise Agreement addresses governing law?
Casiola Franchise · 2024 FDDAnswer from 2024 FDD Document
- Article 18.F. of the Franchise Agreement, under the heading "Governing Law", shall be amended by the addition of the following statement added after the end of the last sentence of Article 18.F. of the Franchise Agreement:
Illinois Addendum: Illinois law governs the agreements between the parties to this franchise.
Section 4 of the Illinois Franchise Disclosure Act Provides that any provision in a Franchise Agreement that designates jurisdiction or venue outside the State of Illinois is void. However, a Franchise Agreement may provide for arbitration in a venue outside Illinois.
Your rights upon termination and non-renewal of a Franchise Agreement are set forth in Sections 19 and 20 of the Illinois Franchise Disclosure Act.
Section 41 of the Illinois Franchise Disclosure Act Provides that any condition, stipulation or provision purporting to bind any person acquiring any franchise to waive compliance with the Illinois Franchise Disclosure Act, or any other law of Illinois is void.
Source: Item 23 — RECEIPTS (FDD pages 47–209)
What This Means (2024 FDD)
According to the 2024 Casiola Franchise Disclosure Document, Article 18.F of the Franchise Agreement addresses governing law, as modified by the Illinois Franchise Agreement Amendment. Specifically, the amendment adds a statement to the end of the last sentence of Article 18.F, noting that Illinois law governs the agreements between the parties to the franchise if the franchise is in Illinois.
This amendment also clarifies that any provision in the Franchise Agreement designating jurisdiction or venue outside of Illinois is void, according to Section 4 of the Illinois Franchise Disclosure Act. However, the agreement may still provide for arbitration in a venue outside Illinois. The amendment also references Sections 19 and 20 of the Illinois Franchise Disclosure Act, which outline the franchisee's rights upon termination and non-renewal of the Franchise Agreement.
Furthermore, Section 41 of the Illinois Franchise Disclosure Act states that any condition, stipulation, or provision requiring a franchisee to waive compliance with the Illinois Franchise Disclosure Act or any other Illinois law is void. This ensures that franchisees operating in Illinois are protected by Illinois law, regardless of what the general Franchise Agreement might state.