For Even Hotels, what is the effective date for the TCCC Juice requirement in California?
Even_Hotels Franchise · 2025 FDDAnswer from 2025 FDD Document
Notwithstanding anything to the contrary set forth in the above License Agreement ("License"), the following provisions shall supersede and apply to each License for an Even Hotel issued in the State of California:
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- In accordance with the provisions under the U.S. Bankruptcy Code (11 U.S.C.A. Sec. 101 et seq.), paragraphs 11.C(1)(b) and (d) of the License shall be amended to include the following language: "Enforceability of this provision is a matter governed by the US Bankruptcy Code and enforceability or nonenforceability is subject to that law and rulings of a court of competent jurisdiction."
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- California Business and Professions Code Sections 20000 through 20043 provide rights to the Licensee concerning termination or non-renewal of a License. If the License contains a provision that is inconsistent with the law, the law will control.
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- The License contains a liquidated damages clause. Under California Civil Code Section 1671, certain liquidated damages clauses are unenforceable,
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- The License and Guaranty require application of the laws of Georgia. In accordance with 5050.23 Sec. 310.114.1(c)(5)(B)(v), this provision may not be enforceable under California law.
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- With respect to franchises sold in California, a franchisor is prohibited from modifying a franchise agreement, or requiring a general release, in exchange for any assistance related to a declared state or federal emergency.
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- This Amendment may be executed in counterparts, which together shall constitute one and the same instrument. Signatures via Conga Sign, DocuSign, .PDF file, facsimile, or other electronic format have the same force and effect as originals.
Source: Item 23 — RECEIPTS (FDD pages 99–438)
What This Means (2025 FDD)
The 2025 Even Hotels Franchise Disclosure Document does not explicitly state the effective date for the TCCC Juice requirement in California. However, the document includes an amendment specific to California, addressing certain legal considerations within the state.
The amendment addresses issues such as the enforceability of provisions under the U.S. Bankruptcy Code, franchisee rights concerning termination or non-renewal as per California Business and Professions Code Sections 20000 through 20043, and the enforceability of liquidated damages clauses under California Civil Code Section 1671. It also notes that the application of Georgia laws as stated in the License and Guaranty may not be enforceable under California law, and it prohibits modifying a franchise agreement or requiring a general release in exchange for assistance during a declared state or federal emergency.
To determine the effective date of the TCCC Juice requirement, a prospective Even Hotels franchisee should directly ask the franchisor for clarification. This inquiry should be directed to the specific terms and conditions outlined in the franchise agreement and any related addenda or exhibits pertaining to beverage requirements in California.