Which state's laws govern the Hawthorn Suites By Wyndham agreement?
Hawthorn_Suites_By_Wyndham Franchise · 2025 FDDAnswer from 2025 FDD Document
- 17.6 Choice of Law; Venue; Dispute Resolution.
- 17.6.1 This Agreement will be governed by and construed under the laws of the State of New Jersey, except for its conflicts of law principles. Neither the New Jersey Franchise Practices Act (the "Act"), any successor act, nor any other law enacted by the State of New Jersey that supplements such Act or successor act will apply to any Facility located outside the State of New Jersey.
- 17.6.2 The parties shall attempt in good faith to resolve any dispute concerning this Agreement or the parties' relationship promptly through negotiation between authorized representatives.
If these efforts are not successful, either party may attempt to resolve the dispute through nonbinding mediation.
Either party may request mediation which shall be conducted by a mutually acceptable and neutral third-party organization.
If the parties cannot resolve the dispute through negotiation or mediation, or choose not to negotiate or mediate, either party may pursue litigation.
17.6.3 You consent and waive your objection to the non-exclusive personal jurisdiction of and venue in the New Jersey state courts situated in Morris County, New Jersey and the United States District Court for the District of New Jersey for all cases and controversies under this Agreement or between we and you.
17.6.4 **WAIVER OF JURY TRIAL.
THE PARTIES WAIVE THE RIGHT TO A JURY TRIAL IN ANY ACTION RELATED TO THIS AGREEMENT OR THE RELATIONSHIP BETWEEN THE FRANCHISOR, THE FRANCHISEE, ANY GUARANTOR, AND THEIR RESPECTIVE SUCCESSORS AND ASSIGNS.**
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER, AND DISPUTE RESOLUTION (FDD pages 78–83)
What This Means (2025 FDD)
According to the 2025 Hawthorn Suites By Wyndham Franchise Disclosure Document, the franchise agreement is governed by the laws of New Jersey, excluding its conflict of law principles. This means that if there are any legal disputes regarding the franchise agreement, New Jersey law will be applied. However, the New Jersey Franchise Practices Act, any successor act, or any other law enacted by the State of New Jersey that supplements such Act or successor act will not apply to any Hawthorn Suites By Wyndham facility located outside of New Jersey.
Furthermore, the FDD states that Hawthorn Suites By Wyndham and the franchisee consent to the non-exclusive personal jurisdiction and venue in the New Jersey state courts situated in Morris County, New Jersey, and the United States District Court for the District of New Jersey for all cases and controversies under the agreement. This means that legal proceedings can be initiated in these courts, but it does not prevent lawsuits from being filed in other jurisdictions.
It is important for prospective franchisees to understand that they are waiving their right to a jury trial in any action related to the franchise agreement or the relationship between the franchisor, the franchisee, any guarantor, and their respective successors and assigns. This waiver could have significant implications in the event of a legal dispute, as the case would be decided by a judge rather than a jury.