What happens to claims not submitted as compulsory counterclaims in an All Dogs Unleashed arbitration?

According to All Dogs Unleashed's 2025 Franchise Disclosure Document, any claim that would constitute a compulsory counterclaim, as defined by Rule 13 of the Federal Rules of Civil Procedure, must be submitted or filed within the same arbitration proceeding as the original claim to which it relates.

For a prospective All Dogs Unleashed franchisee, this means that if they have a claim against All Dogs Unleashed that arises from the same set of facts as a claim All Dogs Unleashed has against them, they must bring that claim in the same arbitration proceeding. This is similar to the legal concept of 'use it or lose it'.

According to the FDD, if such a claim is not submitted or filed in the initial arbitration, it will be permanently barred. This encourages efficiency in dispute resolution by requiring all related issues to be addressed in a single proceeding, preventing future litigation on matters that could have been resolved earlier. Franchisees should seek legal counsel to ensure all potential counterclaims are identified and properly presented during arbitration to avoid losing those rights.