What state's law governs the Jack In The Box franchise agreement?
Jack_In_The_Box Franchise · 2025 FDDAnswer from 2025 FDD Document
rict of California. You and the Company waive trial by jury in any action brought against each other. | | w. | Choice of law | § 20.D | Subject to applicable state law, California law controls. You and the Company must bring any action against each other within two (2) years of the occurrence of the facts on which the action is based, or within a shorter term if required by law. | (1) This provision may not be enforceable under certain state laws.
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER, AND DISPUTE RESOLUTION (FDD pages 70–81)
What This Means (2025 FDD)
According to Jack In The Box's 2025 Franchise Disclosure Document, the franchise agreement is governed by California law. Specifically, Section 20.D of the Franchise Agreement states that, subject to applicable state law, California law controls the agreement. Additionally, any legal action must be brought within two years of the event that led to the action, unless a shorter time frame is required by law. This applies to both Jack In The Box and the franchisee.
This means that any disputes arising from the franchise agreement will be interpreted and resolved under California law. Franchisees should be aware of California's specific franchise laws and how they might affect their rights and obligations. It is also important to note the two-year limitation on bringing legal action, which could impact a franchisee's ability to pursue a claim if they wait too long.
Furthermore, the FDD specifies that the state and federal courts located in San Diego, California, have jurisdiction over disputes. This means a franchisee may have to travel to California to resolve legal issues with Jack In The Box. The franchisee also waives their right to a jury trial.