Do Spray Net franchisees waive the right to a jury trial?
Spray_Net Franchise · 2025 FDDAnswer from 2025 FDD Document
- 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. THE PARTIES AGREE THAT ALL PROCEEDINGS ARISING OUT OF OR RELATED TO THIS AGREEMENT, OR THE SALE OF THE FRANCHISED BUSINESS, WILL BE CONDUCTED ON AN INDIVIDUAL, NOT A CLASS-WIDE BASIS, AND THAT ANY PROCEEDING BETWEEN FRANCHISEE, FRANCHISEE'S GUARANTORS AND FRANCHISOR OR ITS AFFILIATES/OFFICERS/EMPLOYEES MAY NOT BE CONSOLIDATED WITH ANY OTHER PROCEEDING BETWEEN FRANCHISOR AND ANY OTHER THIRD PARTY.
22. SEVERABILITY AND CONSTRUCTION
- A. Should any provision of this Agreement for any reason be held invalid, illegal, or unenforceable by a court of competent jurisdiction, such provision shall be deemed restricted in application to the extent required to render it valid, and the remainder of this Agreement shall in no way be affected and shall remain valid and enforceable for all purposes, both parties hereto declaring that they would have executed this Agreement without inclusion of such provision. In the event such total or partial invalidity or unenforceability of any provision of this Agreement exists only with respect to the laws of a particular jurisdiction, this paragraph shall operate upon such provision only to the extent that the laws of such jurisdiction are applicable to such provision. Each party agrees to execute and deliver to the other any further documents which may be reasonably required to make fully the provisions hereof. Franchisee understands and acknowledges that Franchisor shall have the right in its sole discretion on a temporary or permanent basis, to reduce the scope of any covenant or provision of this Agreement binding upon Franchisee without Franchisee's consent, effective immediately upon receipt by Franchisee of written notice thereof, and Franchisee agrees that it will comply forthwith with any covenant as so modified, which shall be fully enforceable.
Source: Item 23 — RECEIPTS (FDD pages 75–219)
What This Means (2025 FDD)
According to Spray Net's 2025 Franchise Disclosure Document, franchisees typically agree to waive their right to a jury trial. The standard franchise agreement states that both parties waive their right to a jury trial in any legal action related to the agreement. This waiver applies regardless of who initiates the lawsuit and covers all matters related to the franchise agreement, the performance of either party, and the franchisee's purchase of the franchise.
However, there are exceptions to this waiver. For franchises governed by Minnesota law, the Minnesota Addendum to the Franchise Disclosure Document explicitly prohibits Spray Net from requiring franchisees to waive their right to a jury trial. This addendum ensures that Minnesota franchisees retain all rights and remedies provided by Minnesota law, including the right to a jury trial.
Similarly, the Maryland Addendum to the Franchise Agreement states that no statement or acknowledgment signed by a franchisee can waive any claims under Maryland franchise law. This provision protects the franchisee's right to file a lawsuit in a Maryland court, ensuring that the franchisee does not waive their right to a jury trial for causes of action arising under Maryland Franchise Law. Therefore, the jury trial waiver is not absolute and is subject to state-specific regulations.
Prospective Spray Net franchisees should be aware of these provisions and understand how they apply based on the state in which they operate their franchise. It is essential to review any state-specific addenda to the franchise agreement to determine whether the jury trial waiver is enforceable in their jurisdiction.