Where will litigation take place for disputes involving a Crave Cookies franchise?
Crave_Cookies Franchise · 2025 FDDAnswer from 2025 FDD Document
| t. Integration/merger clause | FA: § 18.3 MUDA: § 7 | Only the terms of the agreement are binding (subject to state law). Any representations or promises outside of the disclosure document and franchise agreement (or MUDA) may not be enforceable. However, no claim made in any franchise agreement (or MUDA) is intended to disclaim the express representations made in this Disclosure Document. |
|---|---|---|
| u. Dispute resolution by litigation or mediation | FA: § 17.1 MUDA: § 7 | Except for certain claims, for disputes there must be a face-to-face meeting, mediation and litigation (subject to applicable state law). |
| v. Choice of forum | FA: §§ 17.1; 17.5 MUDA: § 7 | Litigation will take place where our headquarters are located (currently, Holladay, Utah) (subject to applicable state law). Any legal proceedings will take place in the District Court of the United States, in the district where our headquarters is then located, or if this court lacks jurisdiction, the state courts of the state and county where our headquarters is then located (subject to applicable state law). |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER, AND DISPUTE RESOLUTION THE FRANCHISE RELATIONSHIP (FDD pages 34–38)
What This Means (2025 FDD)
According to Crave Cookies's 2025 Franchise Disclosure Document, litigation regarding franchise disputes will take place where Crave Cookies's headquarters are located, which is currently in Holladay, Utah. This is subject to applicable state law.
Any legal proceedings will occur in the District Court of the United States within the district where Crave Cookies's headquarters is located. However, if this court lacks jurisdiction, the proceedings will take place in the state courts of the state and county where their headquarters is located. This too is subject to applicable state law.
This clause is standard in franchise agreements, as it ensures that disputes are resolved in a location familiar to the franchisor. For a prospective Crave Cookies franchisee, this means that any legal action against the company would likely need to be pursued in Utah, regardless of where the franchise is located. This could potentially increase the cost and complexity of litigation for franchisees located outside of Utah.