For Crepe De Licious, what does the term 'Franchisor's Choice of Law State' mean?

According to the 2025 Crepe De Licious Franchise Disclosure Document, the 'Franchisor's Choice of Law State' is defined as Delaware. This definition is found within the State Addendum, which modifies the Franchise Agreement and FDD to comply with specific state laws. This addendum is applicable to franchisees in California, Hawaii, Illinois, Iowa, Indiana, Maryland, Michigan, Minnesota, New York, North Dakota, Ohio, Rhode Island, South Dakota, Virginia, Washington, and Wisconsin, potentially superseding certain portions of the standard Franchise Agreement to align with these states' legal requirements.

For a prospective Crepe De Licious franchisee, this means that the laws of Delaware will govern the interpretation and enforcement of the franchise agreement, regardless of the franchisee's location (except to the extent that the state addendum modifies the agreement). This is a common practice in franchising, as it provides the franchisor with a consistent legal framework across all franchise locations. However, franchisees should be aware that they may be subject to Delaware law even if they are not located in Delaware.

It is important for prospective franchisees to understand the implications of this choice of law, as Delaware law may differ from the laws of their own state. Franchisees should consult with an attorney to discuss the potential impact of Delaware law on their franchise agreement. Furthermore, they should carefully review the State Addendum to understand how it modifies the Franchise Agreement in their specific state. This ensures that franchisees are fully informed of their rights and obligations under the franchise agreement and any state-specific regulations.