factual

Which state's laws govern the Petro Stopping Center Franchise Agreement?

Petro_Stopping_Center Franchise · 2025 FDD

Answer from 2025 FDD Document

This Agreement shall be governed by and construed in accordance with the laws of the state of [insert property state] without regard to its choice of law provisions and the laws of the United States of America.

Source: Item 4 — Other Owners: (FDD pages 228–302)

What This Means (2025 FDD)

According to the 2025 Petro Stopping Center FDD, the Franchise Agreement is generally governed by the laws of the state where the property is located. However, this can be modified by state-specific addenda. For instance, if the Petro Stopping Center franchise is in Illinois, the agreement is governed by Illinois law.

This means that the specific state laws that apply to the agreement can vary depending on the location of the franchise. Prospective franchisees should pay close attention to any state-specific addenda included in their franchise agreement to understand which laws will govern their agreement. These addenda can modify the general governing law provision to reflect the requirements of the state in which the franchise is located.

For example, the FDD includes addenda for California, Hawaii, Indiana, Michigan, New York, Rhode Island, South Dakota, Virginia, Wisconsin, Illinois, Maryland, and Minnesota, indicating potential modifications to the standard agreement based on the franchisee's location. It is important to note that the governing law provision does not include choice of law provisions, and the laws of the United States of America also apply.

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.