Does the Stretch Zone agreement require systematic and continuous contact with the State of Florida?
Stretch_Zone Franchise · 2025 FDDAnswer from 2025 FDD Document
Section 17.5 VENUE AND JURISDICTION
- (a) Venue. The parties irrevocably and unconditionally: (i) agree that any informal dispute meetings, mediation, arbitration or suit, action or legal proceeding involving your Franchise Business or this Agreement will be conducted in the county where our principal place of business is then located or may be brought in the District Court of the United States, in the district where our principal place of business is then located or, if this court lacks jurisdiction, the courts of record of the state and county where our principal place of business is then located; (ii) consent to the jurisdiction of each court in any suit, action or proceeding; (iii) waive any objection that he, she or it may have to the laying of venue of any suit, action or proceeding in any of these courts; and (iv) agree that service of any court paper may be effected on the party by mail at the last known address, as provided in this Agreement, or in any other manner as may be provided under applicable laws or court rules in the state where our principal place of business is then located. Our principal place of business is currently, Broward County, Florida.
- (b) Jurisdiction. The parties specifically agree that this Agreement requires systematic and continuous contact with the State of Florida or where our principal place of business is located. These contacts include the payment of fees in State of Florida, the supplying of financial and other information into the State of Florida, training and orientation and the performance of other obligations under this Agreement in the State of Florida. This exclusive choice of jurisdiction does not preclude the bringing of any action by the parties for the enforcement in any other appropriate jurisdiction of any judgment obtained in the State of Florida.
Source: Item 8 — Receipts. Any sale made must be in compliance with § 683(8) of the Franchise Sale Act (N.Y. Gen. Bus. L. § 680 et seq.), which describes the time period a Franchise Disclosure Document (offering prospectus) must be provided to a prospective franchisee before a sale may be made. New York law requires a franchisor to provide the Franchise Disclosure Document at the earliest of the first personal meeting or ten (10) business days before the execution of the franchise or other agreement or the payment of any consideration that relates to the franchise relationship. (FDD pages 99–263)
What This Means (2025 FDD)
According to the 2025 Stretch Zone Franchise Disclosure Document, the franchise agreement does require systematic and continuous contact with the State of Florida. This is because Stretch Zone Franchising LLC's principal place of business is located in Broward County, Florida.
The agreement specifies that these contacts include the payment of fees to Stretch Zone in Florida, the provision of financial and other information to the company in Florida, and the completion of training and other obligations related to the agreement within the State of Florida.
This clause ensures that Florida courts have jurisdiction over matters pertaining to the franchise agreement. However, it does not prevent either party from enforcing a judgment obtained in Florida in another appropriate jurisdiction. For a prospective franchisee, this means that while disputes are generally resolved in Florida, judgments can be pursued and enforced in other locations where the franchisee may have assets.