A provision in a franchise agreement restricting venue to a forum outside this state is void with respect to any claim arising under or relating to a franchise agreement involving a franchise business operating within this state.
Cal. Bus. & Prof. Code § 20040.5
Venue of Disputes
Known as the California Franchise Relations Act
The act spans §§ 20000–20044 (30 sections).
Applied in 12 court decisions — leading case Nagrampa v. MailCoups, Inc. (2006)
Most recently applied in 384 F. Supp. 3d 1124 - Fleming v. Matco Tools Corp. (May 2019)
Added by Stats. 1994, Ch. 1277, Sec. 1
How often courts cite this section
Court decisions citing this, by year. The dip in the last several years is a data-coverage gap, not a real trend — our corpus holds fewer opinions from the most recent years, so recent citations are undercounted.
Official source: California Legislative Information. Reproduced from public-domain California statutes; confirm against the official source for the current text. Not legal advice.