Is dispute resolution for 1 800 Packouts handled by arbitration or mediation?
1_800_Packouts Franchise · 2025 FDDAnswer from 2025 FDD Document
| Provision | Section in Franchise Agreement | Summary | |
|---|---|---|---|
| employed during the past 12 months by us, our affiliates, or our franchisees. | |||
| s. | Modification of the 18B agreement | 18.B | No modifications unless written agreement signed by both parties. |
| t. | Integration/merger 19B clause | 18.A | Only the terms of the Franchise Agreement are binding (subject to state law). Any representations or promises made outside of the disclosure document and Franchise Agreement may not be enforceable. |
| u. | Dispute resolution by 20B arbitration or mediation | Not applicable | Not applicable |
| v. | v. Choice of forum 21B | 17.A | All actions must be brought in federal or state courts located in Utah County, Utah (or the most proximate thereto) or federal or state courts with jurisdiction over the county in which our principal office is located at the time any litigation commences (subject to applicable state law). |
| w. | Choice of law 22B | 17.B | Utah law governs (subject to applicable state law). |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 49–53)
What This Means (2025 FDD)
According to 1 800 Packouts's 2025 Franchise Disclosure Document, the table summarizing Item 17, which covers dispute resolution, indicates that dispute resolution by arbitration or mediation is "Not applicable". This suggests that 1 800 Packouts does not require franchisees to resolve disputes through arbitration or mediation.
Instead, the 1 800 Packouts franchise agreement specifies that all legal actions must be initiated in federal or state courts located in Utah County, Utah, or in courts with jurisdiction over the county where 1 800 Packouts's principal office is located. This is subject to applicable state law. This means that any legal disputes arising from the franchise agreement will be resolved through the court system in Utah, unless state law dictates otherwise.
The choice of law provision in the 1 800 Packouts franchise agreement states that Utah law governs the agreement, again subject to applicable state law. This means that Utah's legal principles will be used to interpret and enforce the franchise agreement, providing a consistent legal framework for resolving disputes, although state law may override this in certain situations. Prospective franchisees should consult with a legal professional to understand the implications of these provisions and how they might affect their rights and obligations.