Can the arbitrator consider settlement discussions during Aira Fitness arbitration?

According to Aira Fitness's 2025 Franchise Disclosure Document, the arbitrator is specifically barred from considering settlement discussions or offers made by either party during arbitration proceedings. This means that any attempts to resolve the dispute through negotiation before or during the arbitration process will not be taken into account by the arbitrator when making a decision.

This provision aims to ensure that the arbitration process focuses solely on the merits of the case, based on the franchise agreement and applicable laws, rather than being influenced by prior settlement negotiations. It encourages both Aira Fitness and the franchisee to present their strongest arguments and evidence without concern that previous offers or discussions might prejudice the arbitrator's view.

For a prospective Aira Fitness franchisee, this implies that settlement discussions should be approached strategically, understanding that they will not be a factor in the arbitrator's decision. It also highlights the importance of preparing a strong case for arbitration, as the outcome will depend on the presented evidence and arguments, not on any prior attempts to settle the dispute. This clause promotes a more formal and potentially adversarial approach to dispute resolution, as the arbitrator's decision will be based solely on the merits of the case presented during the arbitration hearing.