In which state does the Crepe De Licious agreement take effect?
Crepe_De_Licious Franchise · 2025 FDDAnswer from 2025 FDD Document
- b. This Agreement will be governed by, construed, and enforced under the laws of Delaware, and the courts in that state shall have jurisdiction over any legal proceedings arising out of this Agreement.
Source: Item 22 — CONTRACTS (FDD page 57)
What This Means (2025 FDD)
According to the 2025 Crepe De Licious Franchise Disclosure Document, the franchise agreement is governed by the laws of Delaware. Specifically, the document states that the agreement will be construed and enforced under Delaware law, and any legal proceedings will take place in Delaware courts. This means that any disputes arising from the franchise agreement will be subject to Delaware's legal system, regardless of where the franchisee's Crepe De Licious location is situated.
This clause is important for prospective Crepe De Licious franchisees because it dictates which state's laws will apply to the agreement and where any legal proceedings must occur. Franchisees should be aware of the implications of Delaware law and the potential need to engage legal counsel familiar with Delaware's legal system if disputes arise. This could add complexity and cost if the franchisee is not located in Delaware.
It is common for franchise agreements to specify a particular state's laws to govern the agreement, often the state where the franchisor is headquartered. This provides the franchisor with a consistent legal framework across all franchise locations. However, franchisees should carefully consider the implications of the designated state's laws and ensure they are comfortable with the legal jurisdiction.