What state's law governs the Cd One Price Cleaners Sublease agreement?
Cd_One_Price_Cleaners Franchise · 2025 FDDAnswer from 2025 FDD Document
| Provision | Section in franchise or other agreement | Summary | |
|---|---|---|---|
| s. | Modification of the agreement | 12 of Sublease | Modifications only by written agreement of parties. |
| t. | Integration/merger clause | 12 of Sublease | Only terms of Sublease are binding. Any other representations or promises made outside of the disclosure document and those agreements may not be enforceable. |
| u. | Dispute resolution by arbitration or mediation | Not applicable | No arbitrating disputes under Sublease. |
| v. | Choice of forum | Not applicable | Not applicable. |
| w. | Choice of law | 12 of Sublease | Illinois law applies. |
Source: Item 17 — Renewal, Termination, Transfer, and Dispute Resolution (FDD pages 56–62)
What This Means (2025 FDD)
According to the 2025 FDD, the Sublease agreement between Cd One Price Cleaners and its franchisees is governed by Illinois law. This is according to Item 17 which discusses choice of law.
This means that any legal disputes arising from the Sublease will be interpreted and resolved in accordance with Illinois state law. This includes issues such as the interpretation of the Sublease terms, the rights and obligations of both the franchisee and the franchisor's affiliate, and any remedies available in case of a breach of the Sublease. Franchisees should be aware of this and, if not familiar with Illinois law, may want to consult with an attorney who is.
It is fairly typical in franchising for the franchisor to select a jurisdiction for governing law, and it is often the state where the franchisor has its headquarters. Franchisees should be aware that the state's laws will apply even if they are not located in that state.