Is a Desi District franchisee required to consent to a limitation of claims?
Desi_District Franchise · 2024 FDDAnswer from 2024 FDD Document
- 2. Amendments. The Agreement (and any Guaranty Agreement) is amended to comply with the following:
- (9) Limitation of Claims: Franchisee is not required to consent to a limitation of claims. The statute of limitations under North Dakota law applies.
Source: Item 23 — RECEIPTS (FDD pages 52–140)
What This Means (2024 FDD)
According to the 2024 Desi District Franchise Disclosure Document, franchisees in North Dakota are not required to consent to a limitation of claims. The FDD states that the statute of limitations under North Dakota law applies. This information is part of the North Dakota Rider to the Franchise and Multi-Unit Development Agreement.
This means that if a Desi District franchisee in North Dakota has a legal claim against the franchisor, the time period within which they can bring a lawsuit is governed by North Dakota's general statute of limitations, rather than any shorter period that might be specified in the franchise agreement. This protects the franchisee's right to pursue legal action for the full period allowed by state law.
It is important to note that this protection applies specifically to franchisees operating in North Dakota, due to the inclusion of the North Dakota Rider. Franchisees in other states may be subject to different terms regarding limitations of claims, as outlined in their respective franchise agreements and any state-specific riders or addenda.