Does a Cicis franchisee waive objections to jurisdiction and venue regarding claims arising from the Franchise Agreement?
Cicis Franchise · 2025 FDDAnswer from 2025 FDD Document
You and we agree that all claims, controversies, or disputes arising under this Agreement will be resolved in the state or federal district courts located in the state, county, or judicial district where our or our successor's or assign's corporate headquarters are located at the time litigation is filed (currently, Dallas, Texas). You consent, and hereby waive all objections, to the jurisdiction of and venue in such courts. Notwithstanding the foregoing, we have the right and option to bring any action (1) for monies owed, (2) for injunctive or other extraordinary relief, or (3) involving possession or disposition of, or other relief relating to, real property, in any state or federal district court which would also have jurisdiction in the absence of this provision or which developer deems appropriate to obtain the relief sought. You acknowledge and agree that the foregoing agreements regarding applicable state law and forum provide each of the parties with the mutual benefit of uniform interpretation of this Agreement and any dispute arising out of this Agreement or the parties' relationship created by this Agreement. You further acknowledge the receipt and sufficiency of mutual consideration for such benefit.
Source: Item 23 — RECEIPTS (FDD pages 65–263)
What This Means (2025 FDD)
According to the 2025 Cicis Franchise Disclosure Document, a franchisee agrees that all claims, controversies, or disputes arising under the Franchise Agreement will be resolved in the state or federal district courts located in the state, county, or judicial district where Cicis's corporate headquarters are located at the time litigation is filed (currently, Dallas, Texas). The franchisee consents to the jurisdiction of and venue in such courts and waives all objections to it.
This means that if a Cicis franchisee has a dispute with the company, they will likely have to pursue legal action in Dallas, Texas, regardless of where their franchise is located. This could increase costs for the franchisee, as they may need to hire attorneys and travel to Texas for court proceedings. It also means that the laws of Texas will govern the interpretation and enforcement of the Franchise Agreement.
However, Cicis retains the right to bring action (1) for monies owed, (2) for injunctive or other extraordinary relief, or (3) involving possession or disposition of, or other relief relating to, real property, in any state or federal district court which would also have jurisdiction in the absence of this provision or which developer deems appropriate to obtain the relief sought. This exception could allow Cicis to pursue legal action against a franchisee in a location that is more convenient for Cicis.
These agreements regarding applicable state law and forum provide each of the parties with the mutual benefit of uniform interpretation of this Agreement and any dispute arising out of this Agreement or the parties' relationship created by this Agreement. The franchisee acknowledges the receipt and sufficiency of mutual consideration for such benefit.