For Ledgers franchises in Indiana, what wording replaces 'is entitled' regarding injunctive relief in the Franchise Agreement?
Ledgers Franchise · 2025 FDDAnswer from 2025 FDD Document
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- In compliance with Indiana Code 23-2-2.7-1(10), any inference contained in the Franchise Agreement to the effect that the Franchisor "is entitled" to injunctive relief shall, when applicable to a Franchise Agreement executed in and operative within the State of Indiana, is hereby deleted, understood to mean and replace the words "may seek."
Source: Item 22 — CONTRACTS (FDD page 46)
What This Means (2025 FDD)
According to Ledgers' 2025 Franchise Disclosure Document, for franchise agreements executed in and operative within the state of Indiana, any inference that Ledgers "is entitled" to injunctive relief is replaced with the words "may seek". This modification is in compliance with Indiana Code 23-2-2.7-1(10).
This means that while the standard Ledgers Franchise Agreement might suggest an automatic right to injunctive relief (a court order to stop certain actions) for Ledgers, Indiana law modifies this. In Indiana, Ledgers can only "may seek" injunctive relief, implying that a court must still evaluate the situation and decide whether to grant such relief. This levels the playing field to some extent, ensuring that Ledgers must demonstrate the need for an injunction rather than simply being automatically entitled to it.
For a prospective Ledgers franchisee in Indiana, this is a beneficial modification. It means that if a dispute arises where Ledgers seeks an injunction against the franchisee, the franchisee has the right to argue against it in court. The court will then make an independent determination based on the specific facts of the case, rather than the agreement automatically favoring Ledgers. This provides an additional layer of protection for the franchisee under Indiana law.