In North Dakota, where must any claim against Zoomin Groomin be brought?

According to Zoomin Groomin's 2025 Franchise Disclosure Document, the standard provisions regarding choice of law, jurisdiction and venue, jury waiver, and waiver of punitive damages are deleted for franchisees in North Dakota. In their place, the agreement specifies that any claim against Zoomin Groomin, including its employees, agents, and affiliates, that relates to the Franchise Agreement or the dealings of the parties must be brought solely in arbitration before the American Arbitration Association. This amendment is part of the North Dakota Addendum to the Franchise Agreement, which takes precedence over conflicting terms in the standard agreement.

This means that if a Zoomin Groomin franchisee in North Dakota has a dispute with the company, they cannot sue Zoomin Groomin in court. Instead, they must pursue arbitration through the American Arbitration Association. Arbitration is a form of alternative dispute resolution where a neutral third party hears both sides of the argument and makes a decision that is often binding.

This requirement to arbitrate in North Dakota can have significant implications for franchisees. Arbitration may be less expensive and faster than going to court, but it also typically involves limited discovery and appeal rights. The location of the arbitration may also be a factor, although the FDD does not specify where the arbitration would take place.

Prospective franchisees in North Dakota should carefully consider this arbitration clause and understand the differences between arbitration and litigation. They may want to consult with an attorney to discuss the implications of agreeing to resolve disputes through arbitration.