Is Focus Cfo allowed to require litigation to be conducted outside of Minnesota?

According to the 2025 Focus Cfo Franchise Disclosure Document, Focus Cfo generally requires that any legal action, except for claims required to be submitted to arbitration, be brought in the appropriate state court located in or serving Franklin County, Ohio. Franchisees waive any objections to personal jurisdiction or venue for these cases. However, Focus Cfo can bring claims for injunctive relief where the franchisee is located, and the parties can still enforce judgments or arbitration awards in any appropriate jurisdiction.

For prospective franchisees, this means that if a dispute arises that isn't subject to arbitration, they will likely have to travel to Ohio to resolve it in court. This could increase legal costs due to travel and potentially the need to hire Ohio-based counsel. The FDD also includes a notice specific to Maryland franchisees, stating that any provisions requiring a lawsuit to be filed in Ohio may not be enforceable under Maryland law, and Maryland franchisees may sue in Maryland for claims arising under Maryland's franchise laws.

It is important to note that the FDD does not contain a similar notice or exception for franchisees located in Minnesota. Therefore, based on the information provided, Focus Cfo's standard requirement for litigation to occur in Ohio would likely apply to Minnesota franchisees, potentially creating additional burdens and expenses should legal disputes arise. Franchisees should consult with a legal professional to understand their rights and obligations under the franchise agreement, particularly concerning dispute resolution and choice of venue.