What state's laws does the Christian Brothers Automotive Franchise Agreement require to be applied?

According to the 2025 Christian Brothers Automotive Franchise Disclosure Document, the Franchise Agreement is to be construed and interpreted under the laws of the State of Texas. This means that Texas law will generally govern the interpretation and enforcement of the franchise agreement between Christian Brothers Automotive and its franchisees.

However, the FDD also includes amendments for specific states like New York, Maryland, Minnesota, Illinois, and Virginia, which modify the standard agreement to comply with those states' franchise laws. These amendments often address issues such as waivers of rights, choice of forum, and other provisions that may conflict with state-specific regulations. For example, franchisees in Maryland may bring lawsuits in Maryland for claims arising under the Maryland Franchise Registration and Disclosure Law, regardless of the Texas choice of law provision in the main agreement.

Therefore, while Texas law is the primary choice of law, franchisees should be aware that their rights may also be affected by the franchise laws of their own state, especially if they operate in a state with specific franchise regulations. Christian Brothers Automotive also reserves the right to challenge the enforceability of any state law that declares void or unenforceable any provision contained in the Agreement.