factual

In what courts must litigation with Kitchen Solvers be brought?

Kitchen_Solvers Franchise · 2025 FDD

Answer from 2025 FDD Document

Provision Section in Franchise Agreement (FA) Summary
a. Length of the franchise term FA: Paragraph 4 10 years
b. Renewal or extension of the term FA: Paragraph 4 If you satisfy renewal requirements, you have the option to renew for up to two (2) additional 10-year terms.
c. Requirements for franchisee to renew or extend FA: Paragraph 4 You must be in compliance with your Franchise Agreement, be current with all monetary obligations, attend any necessary training and have continuously operated the Business. You also must give us notice, maintain or obtain suitable premises for the Business (including modernization of sample doors, showcase display and all materials displaying the Marks), sign a release and sign a then current Franchise Agreement, which may have materially different terms and conditions from your original agreement.
d. Termination by franchisee None Not applicable (subject to state law)
Provision Section in Franchise Agreement (FA) Summary
q. Non-competition covenants during the term of the franchise FA: Paragraph 10D No direct or indirect involvement by you or your personal guarantors in the operation of any construction or remodeling business or any other business selling products and services similar to those sold by your Business.
r. Non-competition covenants after the franchise is terminated or expires FA: Paragraph 10D No competing business for 2 years within the Territory, or within 25 miles of the outer boundary of your Territory or 25 miles of the outer boundary of another franchisee’s territory.
s. Modification of the agreement FA: Paragraph 16B No modifications generally, but we may change Kitchen Solvers Business Systems Online Manual and list of Marks.
t. Integration/ merger clause FA: Paragraph 16B Only the terms of the Franchise Agreement are binding. Any promises or representations not contained in the Franchise Agreement or this Disclosure Document may not be enforceable (subject to state law).
u. Dispute resolution by arbitration or mediation FA: Paragraph 13A Except for certain claims, all disputes must be mediated and arbitrated where our then-current headquarters is located, which is currently La Crosse, Wisconsin (subject to state law).
v. Choice of forum FA: Paragraph 16I Subject to the arbitration provisions, litigation must be brought in the Federal District Court for the District of Wisconsin or in La Crosse County District Court, La Crosse, Wisconsin (subject to state law).

Source: Item 17 — Renewal, Termination, Transfer, and Dispute Resolution (FDD pages 36–40)

What This Means (2025 FDD)

According to Kitchen Solvers' 2025 Franchise Disclosure Document, any litigation, subject to arbitration provisions, must be brought in specific courts within Wisconsin. The FDD specifies that lawsuits must be filed either in the Federal District Court for the District of Wisconsin or in the La Crosse County District Court, located in La Crosse, Wisconsin. However, these stipulations are subject to state law, meaning that local regulations could potentially influence the venue.

This requirement means that a Kitchen Solvers franchisee may be required to travel to Wisconsin to resolve legal disputes with the franchisor, regardless of where their franchise is located. This could increase the cost of litigation due to travel, lodging, and potentially hiring local counsel. Franchisees should factor these potential costs into their assessment of the franchise opportunity.

It is important to note that the FDD also mentions arbitration and mediation as methods of dispute resolution that must take place where Kitchen Solver's headquarters is located, which is currently La Crosse, Wisconsin. This means that before a franchisee can litigate, they may be required to attempt to resolve the dispute through these alternative methods in Wisconsin. Prospective franchisees should seek legal counsel to fully understand the implications of these venue and dispute resolution clauses.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.