In the event of conflicting laws,
Eos_Worldwide Franchise · 2025 FDDAnswer from 2025 FDD Document
FOR THE TERRITORY OF PUERTO RICO
In recognition of the requirements of the Puerto Rico Dealers Act known as Law 75, the Franchise Agreement for EOS Worldwide Franchising, LLC is amended as follows:
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- Termination and Non-Renewal. Law 75 makes it unlawful for a franchisor to cancel or not renew a franchise without just cause. If any grounds for default, termination or non- renewal stated in the Franchise Agreement does not constitute "just cause," as that term may be defined by Law 75 or the laws of Puerto Rico, that provision may not be enforceable.
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- Jurisdiction and Venue. The Franchise Agreement is amended to state that restricting jurisdiction or venue to a forum outside the territory of Puerto Rico or requiring the application of the laws of another state is void with respect to a claim otherwise enforceable under Law 75. In the event of a conflict of laws, the provisions of Law 75 shall prevail.
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- Limitations of Claims. Provisions such as those that unreasonably restrict or limit the statute of limitations period for claims under Law 75, or which unreasonably restrict other rights or remedies available to a franchisee under Law 75, such as a waiver of the right to a jury trial may not be enforceable.
Source: Item 22 — CONTRACTS (FDD page 74)
What This Means (2025 FDD)
According to the 2025 Eos Worldwide Franchise Disclosure Document, the franchise agreement's governing law is subject to specific state laws that may supersede certain provisions. For franchisees operating in Washington, the provisions of the Washington Franchise Investment Protection Act will prevail in the event of a conflict of laws. Similarly, for franchisees in Puerto Rico, the Puerto Rico Dealers Act (Law 75) takes precedence over conflicting terms in the franchise agreement.
For Eos Worldwide franchisees in North Dakota, the laws of North Dakota supersede any conflicting provisions in the franchise agreement, related agreements, or Delaware law. This specifically addresses concerns such as general releases upon renewal, waivers of jury trials, and waivers of exemplary and punitive damages, which North Dakota law deems unfair. In Ohio, Ohio law prevails in the event of conflicting laws, ensuring that the franchise agreement aligns with Ohio's legal requirements.
In California, the California Investment Law and the California Franchise Relations Act govern franchisees operating outlets there, regardless of any conflicting choice of law or dispute resolution venue stated elsewhere in the agreement. For franchisees in Indiana, Indiana law supersedes any conflicting provisions, and the Indiana Franchise Disclosure Law and the Indiana Deceptive Franchise Practices Law will prevail in case of a conflict. These stipulations ensure that Eos Worldwide's franchise operations comply with local laws, providing franchisees with the protections and rights afforded by their respective state regulations.