Does All County require mediation for disputes with its affiliates?
All_County Franchise · 2025 FDDAnswer from 2025 FDD Document
- 25.9. Costs and Attorneys' Fees. If we incur expenses in connection with your failure to pay when due amounts owed to us, to submit when due any reports, information or supporting records or otherwise to comply with this Agreement, you agree to reimburse us for any of the costs and expenses which we incur, including, without limitation, reasonable accounting, attorneys', arbitrators' and related fees.
- 25.10. You May Not Withhold Payments Due to Us. You agree that you will not withhold payment of any amounts owed to us on the grounds of our alleged nonperformance of any of our obligations hereunder. You agree that all such claims will, if not otherwise resolved by us, be submitted to arbitration as provided in Article 25.12.
- 25.11. Rights of Parties are Cumulative. Our and your rights hereunder are cumulative, and no exercise or enforcement by us or you of any right or remedy hereunder will preclude our or your exercise or enforcement of any other right or remedy hereunder which we or you are entitled by law to enforce.
25.12. DISPUTE RESOLUTION.
- 25.12.1. Mediation. Except as provided in Article 25.12.3., prior to filing any demand for arbitration, the parties agree to mediate any dispute, controversy or claim between the parties and any of our or your affiliates, officers, directors, shareholders, members, guarantors, employees or owners arising under, out of, in connection with or in relation to this Agreement, any lease or sublease for your Business, any loan or other finance arrangement between us or our affiliates and you, the parties' relationship, your Business, or any Methods of Operation, Operating System or Operating Standard, in accordance with the following procedures:
- 25.12.1.1. The party seeking mediation must commence mediation by sending the other party, in accordance with Article 26, a written notice of its request for mediation headed "Notification of Dispute". The Notification of Dispute will specify, to the fullest extent possible, the party's version of the facts surrounding the dispute, the amount of damages and the nature of any injunctive or other relief such party claims. The party (or parties as the case may be) receiving a Notification of Dispute will respond within
twenty (20) days after receipt thereof, in accordance with Article 26, stating its version of the facts, and, if applicable, its position as to damages sought by the party initiating the dispute procedure; provided, however, that if the dispute has been the subject of a default notice given under Article 22 of this Agreement, the other party will respond within ten (10) business days.
- 25.12.1.2. Upon receipt of a Notification of Dispute and response under Article 25.12.1., the parties will endeavor, in good faith, to resolve the dispute outlined in the Notification of Dispute and response. If the parties have been unable to resolve a dispute outlined in a Notification of Dispute or a response thereto within twenty (20) days after receipt of the response, either party may initiate a mediation procedure in accordance with the American Arbitration Association ("AAA"), pursuant to its Commercial Mediation Procedures, and unless otherwise agreed by the parties will take place in the city of our then-current corporate headquarters. The parties must select a mediator jointly.
- 25.12.1.3. All mediation sessions will occur in Florida at a mutually agreed location and must be attended by your Principal Owners or Managing Owner (and any other persons with authority to settle the dispute on your behalf) and our representatives(s) who is/are authorized to settle the dispute. The parties may be represented by counsel at the mediation. The parties agree to participate in the mediation proceedings in good faith and with the intention of resolving the dispute if at all possible within thirty (30) days of the notice from the party seeking to initiate the mediation procedures. If the dispute is not resolved within thirty (30) days, the parties are free to pursue arbitration.
Source: Item 23 — Receipts (FDD pages 43–157)
What This Means (2025 FDD)
According to All County's 2025 Franchise Disclosure Document, mediation is required before filing for arbitration in the event of a dispute. Prior to arbitration, All County and its franchisees must mediate any dispute, controversy, or claim between the parties and any of their affiliates, officers, directors, shareholders, members, guarantors, employees, or owners. This applies to issues arising from the Franchise Agreement, any lease or sublease for the franchisee's business, loan or finance arrangements between All County or its affiliates and the franchisee, the parties' relationship, the franchisee's business, or any Methods of Operation, Operating System, or Operating Standard.
The party seeking mediation must send a written "Notification of Dispute" to the other party, outlining the facts, damages, and relief sought. The receiving party must respond within twenty days, or ten business days if the dispute involves a default notice. Both parties are expected to resolve the dispute in good faith. If unresolved within twenty days of the response, either party can initiate mediation through the American Arbitration Association (AAA) in the city of All County's corporate headquarters, unless otherwise agreed.
All mediation sessions must occur in Florida at a mutually agreed location. The franchisee's Principal Owners or Managing Owner, along with representatives authorized to settle the dispute, must attend. Both parties can have legal representation and must participate in good faith to resolve the dispute within thirty days of initiating mediation. If mediation fails or a party doesn't respond within five days or participate, the other party can pursue arbitration. The costs of the mediator will be split equally, while each party covers their own fees and expenses. The mediation process is confidential, and both parties must deliver a written statement of positions at least five days before the initial session.