What happens if a party fails to participate in the mediation with All County?

According to All County's 2025 Franchise Disclosure Document, if either party fails to engage in the mediation process, the mediation requirement is waived, and the other party can then pursue arbitration. Specifically, if the party receiving the notice of mediation does not respond within five days of receiving the notice, or if a party fails to participate in the mediation itself, the requirement to mediate the dispute is no longer applicable.

This clause has significant implications for prospective All County franchisees. It means that both All County and the franchisee must take the mediation process seriously. Failing to respond promptly or participate in good faith can lead to immediate arbitration, which may be a more costly and time-consuming process. This provision encourages both parties to actively engage in mediation as a first step in resolving disputes.

For a potential All County franchisee, this highlights the importance of understanding and adhering to the dispute resolution process outlined in the franchise agreement. It is crucial to respond to any notices of dispute promptly and to participate actively in mediation sessions. Failing to do so could result in the loss of the opportunity to resolve the dispute through mediation and force the parties into arbitration.