Which state's law does the Pump It Up Franchise Agreement require to be applied?
Pump_It_Up Franchise · 2025 FDDAnswer from 2025 FDD Document
The Franchise Agreement requires the application of the law of Arizona.
This provision may not be enforceable under California law.
Source: Item 23 — RECEIPTS (FDD pages 60–225)
What This Means (2025 FDD)
According to Pump It Up's 2025 Franchise Disclosure Document, the Franchise Agreement generally requires the application of Arizona law. However, this provision may not be enforceable under California law. For franchisees in New York, the New York Franchise Law governs any claim arising under that law, regardless of what the standard agreement says. Similarly, for franchisees in Washington, in the event of a conflict of laws, the provisions of the Washington Franchise Investment Protection Act will prevail. These stipulations are added via addenda to the standard franchise agreement.
This means that while the standard Pump It Up franchise agreement specifies Arizona law, certain states like California, New York, and Washington have legal protections in place that may override this provision. These protections ensure that franchisees in those states are not subject to laws that are less favorable or conflict with their state's franchise laws.
Prospective franchisees should be aware of these state-specific addenda and how they might affect the interpretation and enforcement of their franchise agreement. It is crucial to consult with legal counsel to understand the specific implications of these provisions in their state and how they relate to the overall franchise relationship with Pump It Up. Franchisees should pay close attention to which state's laws will govern their agreement, as this can significantly impact their rights and obligations.