Under what circumstances is this amendment to the Area Development Agreement signed for Jersey Mikes?
Jersey_Mikes Franchise · 2025 FDDAnswer from 2025 FDD Document
ong other things, bringing an appropriate legal action or by raising the claim in a legal action or arbitration that you have initiated.
The parties have executed this Amendment as of the Effective Date below.
| Peter C | ancro, Chief Executive Officer |
|---|---|
| Date*: | |
| (*Effec | tive Date of this Amendment) |
| DEVELOPE | R: |
| By: | |
| Name/ | Γitle |
| Date: |
FRANCHISOR: A SUB ABOVE, LLC
AMENDMENT TO A SUB ABOVE, LLC AREA DEVELOPMENT AGREEMENT FOR THE STATE OF NORTH DAKOTA
| THIS AMENDMENT (this "Amendment") is made | and entered into by and betwe en A | Sub |
|---|---|---|
| Above, LLC ("Franchisor") and | _ ("Developer" or "You"). Franchison | r and |
| Developer are parties that c ertain Area Development Agreeme | ent dated, 20 | (the |
| "Development Agreement"). This Amendment is annexed | to and for ms part of the De velopi | ment |
| Agreement. This Amendment is being signed because (a) Yo | u are a resident of North Dakota and | 1 the |
| Franchised Restaurants that You will develop under the Dev | velopment Agreement will be locate | d or |
| operated in North Dakota, and/or (b) any of the offering or sa | ales activity relating to the Develop | ment |
| Agreement occurred in North Dakota. |
NORTH DAKOTA LAW MODIFICATIONS
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- The North Dakota Securities Commissioner requires that certain provisions contained in franchise documents be amended to be consistent with North Dakota law, including the North Dakota Franchise Investment Law, North Dakota Century Code Annotated Chapter 51-19, Sections 51-19-01 through 51-19-17 (1993). To the extent that this Amendment contains provisions that are inconsistent with the Development Agreement, the terms of this Amendment shall govern such inconsistency.
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- The following is added as Section 17.9 to the Development Agreement:
"NOTWITHSTANDING ANYTHING TO THE CONTRAR Y IN THIS AGREEMENT, TO THE EXTENT REQUIRED UNDER THE NORTH DAKOTA FRANCHISE INVESTMENT LAW (UNLESS PRE-EMPTED BY THE FEDERAL LAW), ANY ARBITRATION SHALL BE HELD AT A SITE TO WHICH THE PARTIES MUTUALLY AGREE."
- The following is added as Section 17.10 to the Development Agreement:
"NOTWITHSTANDING ANYTHING TO THE CONTRAR Y IN THIS AGREEMENT, TO THE EXTENT REQUIRED UNDER THE NORTH DAKOTA FRANCHISE INVESTMENT LAW, AND SUBJ ECT TO THE ARBITRATION OBLIGATIONS, DEVELOPER MAY BRING AN ACTION IN NORTH DAKOTA FOR CLAIMS ARISING UNDER THE NORTH DAKOTA FRANCHISE INVESTMENT LAW."
4.
Source: Item 23 — RECEIPTS (FDD pages 77–421)
What This Means (2025 FDD)
According to the 2025 Jersey Mikes Franchise Disclosure Document, an amendment to the Area Development Agreement is required under specific circumstances related to the franchisee's domicile, the location of the franchised restaurants, or the location where sales activities occurred.
The amendment is signed if the developer is a resident of North Dakota and the franchised restaurants they develop under the Development Agreement will be located or operated in North Dakota. It also applies if any offering or sales activity related to the Development Agreement occurred in North Dakota. Similar amendments are triggered if the developer is domiciled in Illinois, or if the offering or sales activity relating to the Development Agreement occurred in Illinois, and the franchised restaurants will be located in Illinois.
Additionally, an amendment is necessary if the developer is domiciled in Washington, the restaurants will be located or operated in Washington, or if any sales activity related to the Development Agreement occurred in Washington. These amendments ensure compliance with state-specific franchise laws and regulations, modifying the original agreement to align with local legal requirements.