To which state's courts do Devon Creek franchisees and principals irrevocably submit themselves for jurisdiction?

According to Devon Creek's 2024 Franchise Disclosure Document, the franchise agreement is made in and substantially performed in North Carolina. Franchisees and their principals, unless legally prohibited, irrevocably submit to the sole and exclusive jurisdiction of the state and federal courts in North Carolina. They also waive all questions of personal jurisdiction to carry out this provision.

This means that any legal disputes arising from the franchise agreement will be governed by North Carolina law and litigated in North Carolina courts. This is a standard clause in franchise agreements, as it provides the franchisor with a consistent legal environment and reduces the risk of facing lawsuits in multiple jurisdictions. However, it can be a disadvantage for franchisees who live outside of North Carolina, as they may have to travel to North Carolina to attend court hearings or trials.

There are a few exceptions to this clause. Specifically, claims for injunctive or other extraordinary relief, disputes arising from antitrust laws, disputes arising under the Lanham Act relating to the ownership or validity of the marks, disputes relating to actions to obtain possession of the premises of the franchised business, and enforcement of the franchisee's post-termination obligations are not subject to mediation or arbitration. These types of claims may be brought in other jurisdictions if appropriate.