In the event of a breach of the Floyds 99 agreement, to whose jurisdiction does the Associate submit?

According to the 2025 Floyds 99 FDD, in the event of a breach of the agreement, both parties consent to the jurisdiction of the state and federal courts of Colorado. This means that any legal disputes arising from the agreement will be resolved in Colorado courts, regardless of where the Associate or Floyds 99 is located. This clause ensures that Floyds 99 can bring legal action against an associate in a location that is convenient for them.

However, there is an exception to this rule. If the laws of the state where the Associate resides prohibit the designation of jurisdiction and venue in Colorado, then the laws of the Associate's state will govern. This provision protects Associates who may be subject to unfair or inconvenient legal proceedings in Colorado.

This type of clause is fairly standard in franchise agreements, as franchisors often want to ensure that disputes are resolved in a location that is familiar and convenient for them. However, the exception for state laws that prohibit such designations is also common, as it protects franchisees from being subjected to unfair legal proceedings. Prospective Floyds 99 franchisees should be aware of this clause and understand the potential implications of litigating disputes in Colorado.