Which state's laws govern the Delta Hotels By Marriott agreement?
Delta_Hotels_By_Marriott Franchise · 2025 FDDAnswer from 2025 FDD Document
- D. This Agreement shall be governed by, and construed under, the laws of the State of Maryland, United States of America, without reference to any conflict of laws rules thereof.
- E. This Agreement constitutes the entire agreement between the parties hereto which respect to the subject matter hereof, and supersedes all prior understandings or agreements between the parties hereto related to the subject matter hereof.
Source: Item 6 — Obligations of Franchisee.** Franchisee agrees to the following: (FDD pages 363–513)
What This Means (2025 FDD)
According to the 2025 Delta Hotels By Marriott Franchise Disclosure Document, the franchise agreement is governed by and construed under the laws of the State of Maryland, without regard to its conflict of laws rules. This means that Maryland law will be used to interpret the franchise agreement and resolve any disputes that may arise under it.
This is a fairly standard practice in franchising, as franchisors often choose the laws of a particular state to govern their agreements. This helps ensure consistency and predictability in the interpretation and enforcement of the franchise agreement across different locations. However, franchisees should be aware that the choice of law provision may have implications for their legal rights and obligations, depending on the laws of their own state.
Prospective Delta Hotels By Marriott franchisees should consult with an attorney to understand the implications of the Maryland choice of law provision in the franchise agreement. They should also consider whether the choice of law provision is fair and reasonable, given the location of their franchise and the nature of the franchise relationship. While the agreement specifies that Maryland laws govern the agreement, any disputes can be submitted for discussion and possible resolution by senior officers of Marriott and Franchisee for a period of 30 days before initiating any arbitration.