What law governs the Floyds 99 Franchise Agreement, relationship, and disputes?
Floyds_99 Franchise · 2025 FDDAnswer from 2025 FDD Document
20.7 State and Federal Law. THE PARTIES ACKNOWLEDGE THAT IF THE TERMS OF THIS AGREEMENT REGARDING TERMINATION OR EXPIRATION ARE INCONSISTENT WITH APPLICABLE STATE OR FEDERAL LAW, SUCH LAW SHALL GOVERN THE FRANCHISEE'S RIGHTS REGARDING TERMINATION OR EXPIRATION OF THIS AGREEMENT.
Source: Item 22 — CONTRACTS (FDD pages 57–58)
What This Means (2025 FDD)
According to the 2025 Floyds 99 Franchise Disclosure Document, the franchise agreement is governed by state and federal law regarding termination or expiration. Specifically, if any terms within the agreement concerning termination or expiration are inconsistent with applicable state or federal law, then those laws will take precedence in determining the franchisee's rights.
This means that while the Floyds 99 franchise agreement sets forth the conditions under which the agreement can be terminated or allowed to expire, these conditions are subject to the overriding authority of both state and federal statutes. Franchisees should be aware that certain legal protections afforded to them by these laws cannot be waived or superseded by the franchise agreement.
For a prospective Floyds 99 franchisee, this clause offers a degree of protection. It ensures that the franchisee's rights related to termination and expiration are not solely dictated by the franchise agreement but are also safeguarded by any relevant state and federal laws. It is advisable for potential franchisees to consult with a legal professional to understand the specific state and federal laws that may impact their franchise agreement, particularly concerning termination and renewal rights.