If litigation arises, in which state's courts must the lawsuit be filed for an Epcon Communities franchise?

According to Epcon Communities' 2025 Franchise Disclosure Document, the state courts in the State of Ohio in Franklin County have sole and exclusive jurisdiction to hear and determine any dispute or controversy. If jurisdictional prerequisites exist at the time, the United States District Court for the Southern District of Ohio (Northern Division) also has sole and exclusive jurisdiction. This applies to disputes arising under or concerning the Non-Disclosure and On-Line Access Agreement.

This means that, unless the jurisdictional prerequisites for federal court are met, any legal action a franchisee might want to bring against Epcon Communities or vice versa regarding the Non-Disclosure and On-Line Access Agreement must be filed in the state courts of Franklin County, Ohio. This is a significant consideration for prospective franchisees who do not reside in Ohio, as they may incur travel and legal expenses associated with litigating in a distant jurisdiction.

However, an addendum modifies the franchise agreement for franchisees in Maryland. According to the addendum, nothing in the agreement shall limit a franchisee's rights to file a lawsuit in any court of competent jurisdiction in the State of Maryland alleging a cause of action arising under the Maryland Franchise Laws. Any claims arising under the Maryland Franchise Laws must be brought within three years after the grant of the franchise.

It is important for prospective franchisees to understand that forum selection clauses like this are common in franchise agreements. Franchisees should consult with an attorney to fully understand the implications of agreeing to litigate disputes in a specific jurisdiction.