factual

What does Item 17 of the Kitchen Solvers FDD pertain to?

Kitchen_Solvers Franchise · 2025 FDD

Answer from 2025 FDD Document

oing choice of law should not be considered a waiver of any right conferred upon the franchisor or upon the franchisee by Article 33 of the General Business Law of the State of New York.

ADDENDUM TO KITCHEN SOLVERS® DISCLOSURE DOCUMENT FOR THE STATE OF NORTH DAKOTA

The following applies to franchisees and franchisees subject to North Dakota statutes and regulations. Item numbers correspond to those in the main body:

Item 17 The following statements are added to Item 17:

Pursuant to the North Dakota Franchise Investment Law, any provision requiring franchisees to consent to the jurisdiction of courts outside North Dakota or to consent to the application of laws of a state other than North Dakota is void, provided that the Franchise Agreement may provide for arbitration in a forum outside of North Dakota.

Any general release the franchisee is required to assent to is not intended to nor shall it act as a release, estoppel or waiver of any liability Franchisor may have incurred under the North Dakota Franchise Investment Law.

Covenants not to compete upon termination or expiration of franchise agreements are generally not enforceable in the State of North Dakota, except in certain instances as provided by law.

The Franchise Agreement includes a waiver of exemplary and punitive damages. That requirement will not apply to North Dakota franchisees and is deemed deleted in each place it appears in the Disclosure Document and Franchise Agreement.

The Franchise Agreement stipulates that the franchisee shall pay all costs and expenses incurred by Franchisor in enforcing the agreement. For North Dakota franchisees, the prevailing party is entitled to recover all costs and expenses, including attorney's fees.

The Franchise Agreement requires the franchisee to consent to a waiver of trial by jury. This provision shall not in any way abrogate or reduce any rights of the franchisee as provided for in the North Dakota Franchise Investment Law, including the right to a trial by jury and the right to submit matters to the jurisdiction of the Courts of North Dakota.

ADDENDUM TO KITCHEN SOLVERS® DISCLOSURE DOCUMENT FOR THE STATE OF SOUTH DAKOTA

To the extent the South Dakota Franchise Investment Act, S.D. Codified Laws §§37-5B-53 – 37- 5B-53 applies, the terms of this Addendum apply.

ADDENDUM TO KITCHEN SOLVERS® DISCLOSURE DOCUMENT FOR THE STATE OF VIRGINIA

The following applies to franchisees and franchisees subject to Virginia statutes and regulations. Item numbers correspond to those in the main body:

Item 17, Additional Disclosure. In recognition of the restrictions contained in Section 13.1-564 of the Virginia Retail Franchising Act, the Franchise Disclosure Document for Franchisor for use in the Commonwealth of Virginia shall be amended as follows:

"Pursuant to Section 13.1-564 of the Virginia Retail Franchising Act, it is unlawful for a franchisor to cancel a franchise without reasonable cause.

Source: Item 23 — Receipts (FDD pages 49–190)

What This Means (2025 FDD)

According to Kitchen Solvers's 2025 Franchise Disclosure Document, Item 17 generally pertains to addenda that provide additional disclosures or modifications to the franchise agreement based on specific state laws. These addenda are included to ensure that the Kitchen Solvers franchise agreement complies with the franchise laws of certain states.

For example, for the state of North Dakota, Item 17 includes stipulations that any provision requiring franchisees to consent to jurisdiction outside of North Dakota is void, though arbitration outside the state may be allowed. It also clarifies that general releases do not waive franchisor liability under North Dakota law, covenants not to compete are generally unenforceable, waivers of exemplary and punitive damages do not apply, and the prevailing party is entitled to recover costs and expenses, including attorney's fees. The addendum also ensures that the franchisee's right to a jury trial and access to North Dakota courts are protected.

Similarly, for Minnesota, Item 17 states that Kitchen Solvers will comply with Minnesota Statute § 80C.14, subdivisions 3, 4, and 5, regarding termination and nonrenewal notices. It also notes that Minnesota law prohibits requiring litigation outside of Minnesota, waiving jury trials, or consenting to liquidated damages or termination penalties. The addendum also specifies the franchisor's rights to seek injunctions and specific performance in case of a breach.

For Illinois, Item 17 indicates that Illinois law governs the Franchise Agreement and that any provision designating jurisdiction or venue outside Illinois is void, although a franchise agreement may provide for arbitration outside of Illinois.

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.