Does the Ella Cafe Confidentiality Agreement include a waiver of trial by jury?
Ella_Cafe Franchise · 2024 FDDAnswer from 2024 FDD Document
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- I WAIVE TRIAL BY JURY IN ANY ACTION, PROCEEDING, OR COUNTERCLAIM, WHETHER AT LAW OR IN EQUITY, INVOLVING FRANCHISOR, WHICH ARISES OUT OF OR IS RELATED IN ANY WAY TO THE DEVELOPMENT AGREEMENT AND/OR THE PERFORMANCE OF ANY PARTY UNDER THE DEVELOPMENT AGREEMENT.
Source: Item 23 — RECEIPTS (FDD pages 50–181)
What This Means (2024 FDD)
According to Ella Cafe's 2024 Franchise Disclosure Document, the Confidentiality Agreement includes a waiver of trial by jury. Specifically, the document states, "I WAIVE TRIAL BY JURY IN ANY ACTION, PROCEEDING, OR COUNTERCLAIM, WHETHER AT LAW OR IN EQUITY, INVOLVING FRANCHISOR, WHICH ARISES OUT OF OR IS RELATED IN ANY WAY TO THE DEVELOPMENT AGREEMENT AND/OR THE PERFORMANCE OF ANY PARTY UNDER THE DEVELOPMENT AGREEMENT."
This means that any legal disputes with Ella Cafe related to the Development Agreement will not be decided by a jury. Instead, a judge will make the decision. This waiver applies to any action, proceeding, or counterclaim, whether based on law or equity.
Such waivers are relatively common in franchise agreements. Franchisees should understand the implications of waiving their right to a jury trial, as it can affect the strategy and potential outcomes of legal disputes. It is advisable to consult with an attorney to fully understand the ramifications of this clause before signing the agreement.