factual

Where must mediation take place for a claim against All States M.E.D.?

All_States_M_E_D Franchise · 2024 FDD

Answer from 2024 FDD Document

Before you may bring any Claim against us, you agree to try for a period of 60 days to mediate such claim before a mutually agreed to mediator in the city or county where our headquarters are located. If we cannot mutually agree on a mediator, you and we agree to use the mediation services of the American Arbitration Association ("AAA"), and split any AAA and mediator fees equally.

Source: Item 23 — RECEIPTS (FDD pages 44–174)

What This Means (2024 FDD)

According to All States M.E.D.'s 2024 Franchise Disclosure Document, before a franchisee can bring a claim against All States M.E.D. in court, the franchisee must first attempt to mediate the claim for 60 days. This mediation must occur before a mutually agreed-upon mediator in the city or county where All States M.E.D.'s headquarters is located. If the franchisee and All States M.E.D. cannot agree on a mediator, they will use the mediation services of the American Arbitration Association (AAA) and split the AAA and mediator fees equally.

This means that a franchisee may be required to travel to the city or county of All States M.E.D.'s headquarters for mediation, which could incur travel and accommodation costs. It is also important to note that the franchisee and All States M.E.D. share the costs of the mediator and AAA fees if they cannot agree on a mediator independently.

For franchisees in North Dakota and Rhode Island, there are specific addenda that may modify these requirements. For example, the North Dakota addendum states that the site of mediation and arbitration shall be agreeable to all parties and may not be remote from the franchisee's place of business. The Rhode Island addendum states that any restriction of choice of jurisdiction or venue is void with respect to franchisees governed under the laws of Rhode Island. Therefore, prospective franchisees should carefully review any state-specific addenda to understand how these dispute resolution procedures may be modified in their specific circumstances.

Disclaimer: This information is extracted from the 2024 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.