Which state's laws govern the Even Hotels agreement?
Even_Hotels Franchise · 2025 FDDAnswer from 2025 FDD Document
- 11.10 Governing Law; Sole and Exclusive Venue.
This Agreement and the rights and obligations of the Parties under this Agreement shall be governed by and construed in accordance with the Laws of the State of Georgia, without giving effect to the principles thereof relating to the conflicts of Laws.
Each Party irrevocably agrees that any legal action, suit or proceeding brought by it in any way arising out of this Agreement must be brought solely and exclusively in the state courts located in the County of Fulton, State of Georgia, and irrevocably accepts and submits to the sole and exclusive jurisdiction of each of the aforesaid courts in personam, generally and unconditionally with respect to any action, suit or proceeding brought by it or against it by the other Party.
Source: Item 23 — RECEIPTS (FDD pages 99–438)
What This Means (2025 FDD)
According to Even Hotels' 2025 Franchise Disclosure Document, the franchise agreement is generally governed by the laws of the State of Georgia. Specifically, the agreement and the rights and obligations of all parties are to be interpreted in accordance with Georgia law, without regard to its conflict of laws principles. This means that if there are legal disputes arising from the franchise agreement, Georgia law will be used to resolve them.
However, this general rule is subject to certain exceptions. Amendments included in the FDD indicate that for franchisees operating in specific states such as California, Hawaii, Maryland, North Dakota, Rhode Island, Virginia, and Washington, the franchise agreement is superseded by the laws of those states to the extent that any provisions conflict. For example, the California amendment states that the requirement to apply Georgia laws may not be enforceable under California law. Similarly, the North Dakota amendment specifies that North Dakota laws supersede any conflicting provisions of the license or Georgia law.
These state-specific amendments reflect the fact that franchise relationships are also regulated at the state level, and these regulations are designed to protect franchisees. Therefore, while the Even Hotels agreement specifies Georgia law as the governing law, franchisees need to be aware of the potential impact of their own state's franchise laws, which may take precedence over certain aspects of the agreement.