What state's laws does the Deck Medic franchise agreement require to be applied?
Deck_Medic Franchise · 2024 FDDAnswer from 2024 FDD Document
Article 18 of the Franchise Agreement is hereby amended by the addition of the following language: "Covenants requiring North Dakota franchisees to consent to the jurisdiction of courts outside of North Dakota may not be enforceable in North Dakota."
Article 18 of the Franchise Agreement is hereby amended by the addition of the following language: "for North Dakota Franchisees, North Dakota law shall apply."
Article 18.F. of the Franchise Agreement, under the heading "Governing Law", shall be amended by the addition of the following statement added after the end of the last sentence of Article 18.F. of the Franchise Agreement:
Illinois Addendum: Illinois law governs the Franchise Agreement.
Source: Item 23 — RECEIPTS (FDD pages 43–228)
What This Means (2024 FDD)
According to the 2024 Deck Medic Franchise Disclosure Document, the franchise agreement is subject to specific state laws depending on the franchisee's location. For franchisees in North Dakota, the franchise agreement includes an amendment stating that "for North Dakota Franchisees, North Dakota law shall apply." Similarly, for franchisees in Illinois, the agreement is amended to state, "Illinois law governs the Franchise Agreement."
This means that if a Deck Medic franchisee operates in North Dakota, the interpretation and enforcement of the franchise agreement will be governed by North Dakota law. This could affect various aspects of the agreement, including provisions related to termination, renewal, and dispute resolution. Similarly, Illinois law would govern the agreement for franchisees operating in Illinois.
Prospective Deck Medic franchisees should carefully review the specific state addenda included in the Franchise Disclosure Document to understand how the laws of their state may modify or supersede the standard terms of the franchise agreement. This is particularly important in areas such as dispute resolution, termination rights, and non-compete clauses, as these can vary significantly from state to state. Franchisees should also consult with a legal professional to fully understand their rights and obligations under the franchise agreement and applicable state laws.