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

According to All County's 2025 Franchise Disclosure Document, if a party receiving notice of mediation does not respond within five days of delivery, or if a party fails to participate in the mediation, the mediation requirements outlined in Article 25.12.1 will no longer apply. This means the other party is then free to pursue arbitration to resolve the dispute.

This clause encourages both All County and its franchisees to engage in the mediation process seriously. By setting a firm deadline for responding to the mediation notice and requiring active participation, All County aims to ensure disputes are addressed promptly and efficiently. The five-day response window is relatively short, emphasizing the need for franchisees to act quickly upon receiving such a notice.

The consequence of failing to respond or participate—losing the opportunity for mediation and proceeding directly to arbitration—is significant. Arbitration can be a more formal and potentially more costly process than mediation. Therefore, franchisees should understand the importance of adhering to the mediation requirements to potentially resolve disputes in a less adversarial and more cost-effective manner. This clause highlights the importance of franchisees maintaining open communication and seeking legal counsel when necessary to navigate dispute resolution processes effectively.