Are Indiana-based Management Recruiters members required to irrevocably submit to the jurisdiction of South Carolina courts or any courts outside of Indiana?

According to Management Recruiters' 2024 Franchise Disclosure Document, Indiana franchise members are protected by Indiana state laws that prevent them from being forced to litigate disputes in South Carolina or other out-of-state courts. This protection is specifically outlined in an addendum to the Management Recruiters franchise agreement required by the state of Indiana. This addendum ensures that the Indiana Franchise Disclosure Law and the Indiana Franchise Deceptive Practices Law take precedence if there are any conflicts with South Carolina law.

For a prospective Management Recruiters franchisee in Indiana, this means they cannot be compelled to irrevocably accept the jurisdiction of South Carolina courts or any courts outside of Indiana. Furthermore, any attempt to waive their rights to a defense based on jurisdiction, venue, or forum non conveniens would be unenforceable. This provision aims to safeguard the franchisee's rights and ensure fair legal proceedings within their home state.

Additionally, Indiana members are entitled to have arbitration proceedings held in an Indiana location, providing a more convenient and accessible means of resolving disputes. These stipulations reflect Indiana's commitment to protecting its residents and businesses from potentially unfavorable legal conditions imposed by out-of-state franchisors. This ensures that Management Recruiters franchisees in Indiana have the right to resolve legal issues within their own state, under the protection of Indiana law.