If the Kidokinetics Franchise Agreement contains a provision inconsistent with the California Franchise Investment Law, which law will control?

According to Kidokinetics's 2024 Franchise Disclosure Document, if any provision in the Franchise Agreement is inconsistent with the California Franchise Investment Law, the California Franchise Investment Law will take precedence. This means that the specific protections and regulations provided by California law regarding franchise investments will override any conflicting terms in the Kidokinetics Franchise Agreement.

For a prospective Kidokinetics franchisee in California, this is a crucial safeguard. It ensures that the franchisee's rights under California law are protected, even if the Franchise Agreement attempts to limit or waive those rights. This protection extends to various aspects of the franchise relationship, including termination, transfer, and non-renewal of the franchise.

This clause is particularly important because franchise agreements are often drafted to favor the franchisor. By stating that California law controls in cases of conflict, Kidokinetics acknowledges the state's interest in protecting franchisees and ensuring fair dealing. Franchisees should still carefully review the entire agreement and consult with legal counsel to fully understand their rights and obligations under both the Franchise Agreement and California law.