What items of the Pearce Bespoke Franchise Disclosure Document are supplemented by the Rhode Island addendum?
Pearce_Bespoke Franchise · 2025 FDDAnswer from 2025 FDD Document
- Items 17v. and 17w., under the provisions entitled "Choice of law" and "Choice of forum," shall be supplemented with the following language:
However, you may sue us in Rhode Island for claims arising under the Rhode Island Franchise Investment Act.
- Item 17 shall be supplemented by the addition of the following language at the end of Item 17:
Section 19-28.1-14 of the Rhode Island Franchise Investment Act provides that "A provision in a franchise agreement restricting jurisdiction or venue to a forum outside this state or requiring the application of the laws of another state is void with respect to a claim otherwise enforceable under this Act."
- Each provision of this Addendum to the Disclosure Document shall be effective only to the extent, with respect to such provision, that the jurisdictional requirements of the Rhode Island Franchise Investment Act are met independently without reference to this Addendum to the Disclosure Document.
Source: Item 22 — CONTRACTS (FDD page 39)
What This Means (2025 FDD)
According to Pearce Bespoke's 2025 Franchise Disclosure Document, the Rhode Island addendum supplements specific items within the document. Specifically, Items 17v. and 17w., which address "Choice of law" and "Choice of forum," are supplemented with language clarifying that a franchisee may sue Pearce Bespoke in Rhode Island for claims arising under the Rhode Island Franchise Investment Act. Additionally, Item 17 is supplemented with language stating that any provision restricting jurisdiction or venue to a forum outside of Rhode Island, or requiring the application of other states' laws, is void with respect to claims enforceable under the Rhode Island Franchise Investment Act.
This addendum ensures that Rhode Island franchisees retain their rights under the Rhode Island Franchise Investment Act, regardless of any conflicting provisions in the standard franchise agreement. This means that Pearce Bespoke franchisees in Rhode Island have the right to pursue legal claims within their own state, under the protection of Rhode Island law, without being forced to litigate in a different jurisdiction or under different laws as might otherwise be required by the franchise agreement.
The Rhode Island addendum also includes a clause stating that each provision of the addendum is effective only to the extent that the jurisdictional requirements of the Rhode Island Franchise Investment Act are met independently, without reference to the addendum itself. This suggests that the protections afforded by the addendum are contingent upon the applicability of the Rhode Island Franchise Investment Act in the first place. Pearce Bespoke franchisees should consult with a legal professional to fully understand the implications of these provisions and how they apply to their specific circumstances.