Does the Illinois Rider to the Checkers Franchise Agreement affect the choice of law?
Checkers Franchise · 2025 FDDAnswer from 2025 FDD Document
- Governing Law. Section 10.07 of the Agreement shall be amended further by adding the following:
Despite the provision above, Franchisor and Franchisee agree that Illinois law will govern this Agreement.
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- In conformance with section 41 of the Illinois Franchise Disclosure Act, 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.
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- No disclaimer, questionnaire, clause, or statement signed by a franchisee in connection with the commencement of the franchise relationship shall be construed or interpreted as waiving any claim of fraud in the inducement, whether common law or statutory, or as
Source: Item 22 — CONTRACTS (FDD pages 91–92)
What This Means (2025 FDD)
According to Checkers' 2025 Franchise Disclosure Document, the Illinois Rider to the Franchise Agreement does affect the choice of law. Specifically, the rider amends Section 18.08 of the standard Franchise Agreement to stipulate that Illinois law will govern the agreement, regardless of any conflicting provisions in the original agreement. This modification is included in the Illinois Rider due to the requirements of the Illinois Franchise Disclosure Act.
This means that if a Checkers franchisee operates in Illinois or is a resident of Illinois, the terms of the franchise agreement will be interpreted and enforced under Illinois law. This is significant because Illinois law may offer different protections or impose different obligations compared to the laws of other states. For instance, the Illinois Franchise Disclosure Act includes provisions designed to protect franchisees from certain practices.
Additionally, the Illinois Rider explicitly states that any attempt to waive compliance with the Illinois Franchise Disclosure Act or any other Illinois law is void. It also clarifies that no disclaimer or statement signed by the franchisee can be interpreted as waiving claims of fraud in the inducement or disclaiming reliance on information provided by Checkers. This provision further reinforces the application of Illinois law and protects the franchisee's rights under that law.