Does the Spray Net franchise agreement include a waiver of jury trial?
Spray_Net Franchise · 2025 FDDAnswer from 2025 FDD Document
nable or unenforceable for any reason, the foregoing provisions shall continue in full force and effect, including, without limitation, the waiver of any right to claim any consequential damages. Nothing in this Section or any other provision of this Agreement shall be construed to prevent Franchisor from claiming and obtaining expectation or consequential damages, including lost future royalties for the balance of the term of this Agreement if it is terminated due to Franchisee's default, which the parties agree and acknowledge Franchisor may claim under this Agreement.
- K. WAIVER OF JURY TRIAL. THE PARTIES HEREBY AGREE TO WAIVE TRIAL BY JURY IN ANY ACTION, PROCEEDING OR COUNTERCLAIM, WHETHER AT LAW OR EQUITY, REGARDLESS OF WHICH PARTY BRINGS SUIT. THIS WAIVER SHALL APPLY TO ANY MATTER WHATSOEVER BETWEEN THE PARTIES HERETO WHICH ARISES OUT OF OR IS RELATED IN ANY WAY TO THIS AGREEMENT, THE PERFORMANCE OF EITHER PARTY, AND/OR FRANCHISEE'S PURCHASE FROM FRANCHISOR OF THE FRANCHISE AND/OR ANY GOODS OR SERVICES.
- L. WAIVER OF CLASS ACTIONS.
Source: Item 23 — RECEIPTS (FDD pages 75–219)
What This Means (2025 FDD)
According to the 2025 Spray Net Franchise Disclosure Document, the franchise agreement includes a waiver of jury trial. Specifically, the agreement states that both parties agree to waive a jury trial in any legal action related to the agreement, regardless of who initiates the suit. This waiver applies to any matter arising from the agreement, the performance of either party, or the franchisee's purchase of the franchise, goods, or services from Spray Net.
This means that a Spray Net franchisee would be giving up their right to have a jury decide any disputes they may have with the franchisor. Instead, disputes would be resolved by a judge. This can be a significant consideration for potential franchisees, as jury trials are sometimes seen as more favorable to the individual, while a judge might be perceived as more aligned with the interests of the corporation.
However, the Minnesota Addendum to the Spray Net Franchise Agreement modifies this provision for franchisees operating in Minnesota. It states that Minnesota law prohibits requiring a waiver of a jury trial. Therefore, the jury trial waiver would not be enforceable in Minnesota. Similarly, the New York Addendum states that the choice of law should not be considered a waiver of any right conferred upon the franchisor or franchisee by the General Business Law of the State of New York.
It is important for prospective Spray Net franchisees to carefully review the franchise agreement and any addenda specific to their state to understand their rights and obligations regarding dispute resolution.