Choice of law issues

Under Polish Private International Law, contracting parties may choose the governing law for their relations; however, their choice is limited to the law which bears a relation to the obligation at issue. If the parties choose a different governing law, a court may annul their choice.

A franchise agreement between a foreign franchisor and a franchisee domiciled in Poland may provide that it will be governed by the law of the franchisor’s country and that all disputes will be submitted either to a court in the franchisor’s country or to arbitration in the franchisor’s country or in a third country. There are no restrictions on the rules of arbitration applied in an arbitration proceeding. Foreign judgments and arbitral awards are readily enforceable in Polish courts.

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