What specific federal law might govern the Floyds 99 Franchise Agreement?

According to the 2025 Floyds 99 Franchise Disclosure Document, the agreement is subject to both state and federal laws. Specifically, Section 20.7 addresses the potential conflict between the franchise agreement's terms regarding termination or expiration and any applicable state or federal law. In such cases where an inconsistency exists, the state or federal law will take precedence and govern the franchisee's rights concerning the termination or expiration of the agreement. This ensures that franchisees are protected by the laws of their jurisdiction, even if the franchise agreement attempts to limit those rights.

This clause is important for prospective Floyds 99 franchisees because it highlights that the franchise agreement is not the only source of legal rights. Franchisees should be aware of the laws in their state and at the federal level that may provide additional protections. For example, some states have franchise relationship laws that govern the termination and renewal of franchise agreements, providing franchisees with rights beyond what is stated in the contract.

It is advisable for potential Floyds 99 franchisees to consult with an attorney experienced in franchise law to understand the specific state and federal laws that may apply to their franchise agreement. This will help them make informed decisions and protect their interests throughout the term of the franchise. Understanding these protections is a standard part of due diligence when considering a franchise investment.