For Hardees franchisees in North Dakota, does the requirement to consent to the jurisdiction of courts in Tennessee still apply?

According to Hardees's 2025 Franchise Disclosure Document, the requirement for franchisees in North Dakota to consent to the jurisdiction of courts in Tennessee does not apply. This stipulation is explicitly waived for North Dakota franchisees and is considered deleted from both the Franchise Disclosure Document and the Franchise Agreement. This protection is due to the North Dakota Franchise Investment Law.

This means that any legal disputes arising from the franchise agreement within North Dakota will be governed by North Dakota law and adjudicated in North Dakota courts, regardless of what the standard franchise agreement might state. This provides a significant benefit to franchisees in North Dakota, as they are not required to travel to Tennessee or be subject to Tennessee law for dispute resolution.

This waiver is documented in an addendum to the franchise agreement specifically for North Dakota franchisees. The addendum ensures that several provisions that might conflict with North Dakota law are modified or removed to protect the franchisee's rights under North Dakota law. This includes not only the jurisdiction of courts but also aspects such as covenants not to compete, waivers of exemplary and punitive damages, and limitations of claims, all of which are treated differently under North Dakota law compared to standard franchise agreements.