To which courts does the Covenantor irrevocably submit jurisdiction regarding the Devon Creek agreement?
Devon_Creek Franchise · 2024 FDDAnswer from 2024 FDD Document
- e. THIS AGREEMENT SHALL BE INTERPRETED BY AND CONSTRUED AND ENFORCED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NORTH CAROLINA. COVENANTOR HEREBY IRREVOCABLY SUBMITS HIMSELF OR HERSELF TO THE JURISDICTION OF THE STATE AND FEDERAL COURTS OF NORTH CAROLINA. COVENANTOR HEREBY WAIVES ALL QUESTIONS OF PERSONAL JURISDICTION OR VENUE FOR THE PURPOSE OF CARRYING OUT THIS PROVISION. COVENANTOR HEREBY AGREES THAT SERVICE OF PROCESS MAY BE MADE UPON COVENANTOR IN ANY PROCEEDING RELATING TO OR ARISING UNDER THIS AGREEMENT OR THE RELATIONSHIP CREATED BY THIS AGREEMENT BY ANY MEANS ALLOWED BY THE LAWS OF SUCH STATE OR FEDERAL LAW. COVENANTOR FURTHER AGREES THAT VENUE FOR ANY PROCEEDING RELATING TO OR ARISING OUT OF THIS AGREEMENT SHALL BE IN THE STATE OF NORTH CAROLINA; PROVIDED, HOWEVER, WITH RESPECT TO ANY ACTION THAT INCLUDES INJUNCTIVE RELIEF OR OTHER EXTRAORDINARY RELIEF, FRANCHISOR OR FRANCHISEE MAY BRING SUCH ACTION IN ANY COURT IN ANY STATE THAT HAS JURISDICTION.
Source: Item 22 — CONTRACTS (FDD page 45)
What This Means (2024 FDD)
According to Devon Creek's 2024 Franchise Disclosure Document, the Covenantor irrevocably submits to the jurisdiction of the state and federal courts of North Carolina. The Covenantor also waives all questions of personal jurisdiction or venue for the purpose of carrying out this provision. This means that any legal proceedings related to the agreement will take place in North Carolina courts, and the Covenantor cannot challenge this location based on their personal location or convenience.
Furthermore, the Covenantor agrees that service of process may be made upon them in any proceeding relating to or arising under this agreement or the relationship created by this agreement by any means allowed by the laws of such state or federal law. The Covenantor also agrees that venue for any proceeding relating to or arising out of this agreement shall be in the State of North Carolina; provided, however, with respect to any action that includes injunctive relief or other extraordinary relief, Devon Creek or Franchisee may bring such action in any court in any state that has jurisdiction.
This clause ensures that Devon Creek and the franchisee have a clear legal venue for resolving disputes, while also allowing for actions seeking injunctive relief to be pursued in other jurisdictions where necessary. This is a common practice in franchising to establish a consistent legal framework and protect the brand's interests.