Where must litigation be brought for Sonesta Simply Suites, subject to the arbitration requirement?
Sonesta_Simply_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
| PROVISION | SECTION IN | SUMMARY |
|---|---|---|
| v. Choice of forum | Sections 17.H and 17.J | Subject to the arbitration requirement, litigation must be brought in the court nearest to our or, as applicable, our successor’s or assign’s then current principal place of business (currently, Newton, Massachusetts) (subject to state law). However, we may seek injunctive relief in any court of competent jurisdiction. |
| w. Choice of law | Section 17.G | Except for the U.S. Trademark Act, the Federal Arbitration Act and other federal laws, Massachusetts law applies (subject to state law). |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER, AND DISPUTE RESOLUTION (FDD pages 66–70)
What This Means (2025 FDD)
According to Sonesta Simply Suites's 2025 Franchise Disclosure Document, subject to certain state laws and the arbitration requirement, any litigation must occur in the court nearest to Sonesta Simply Suites's principal place of business. Currently, their principal place of business is in Newton, Massachusetts. However, Sonesta Simply Suites can seek injunctive relief in any court that has the jurisdiction to hear the case.
This means that if a franchisee has a dispute with Sonesta Simply Suites that is not subject to arbitration, the franchisee will likely have to travel to Newton, Massachusetts to pursue legal action. This could increase the franchisee's legal costs, as they may have to pay for travel expenses, as well as local attorneys.
However, the franchisee is not the only one who may have to travel. If Sonesta Simply Suites brings a lawsuit against a franchisee, they will likely have to do so in the court nearest to their principal place of business. This could also increase Sonesta Simply Suites's legal costs. The FDD also specifies that Massachusetts law governs the franchise agreement, except for the U.S. Trademark Act, the Federal Arbitration Act, and other federal laws.