What constitutes grounds for dismissal of litigation or arbitration proceedings against All Team?

According to All Team's 2025 Franchise Disclosure Document, failure to submit a dispute to mediation before starting litigation or arbitration can lead to dismissal of those proceedings. This requirement is part of the dispute resolution process outlined in the franchise agreement. The mediation is to occur in Tampa, Florida, unless both parties agree to another location.

For a prospective All Team franchisee, this means that before filing a lawsuit or demanding arbitration against All Team, they must first attempt to resolve the issue through non-binding mediation. This involves a conference between the parties and, if necessary, engaging a mediator to facilitate a settlement. The franchisee is responsible for covering the costs of the mediation, including the mediator's fees and expenses.

However, this mediation requirement does not apply to certain claims brought by All Team, such as those relating to their trademarks, service marks, patents, or copyrights, or claims related to leases or requests for injunctive relief to protect the status quo or prevent irreparable harm. In these specific cases, All Team can directly pursue litigation without prior mediation. Therefore, franchisees need to be aware of these exceptions and adhere to the mediation requirement for other disputes to avoid potential dismissal of their claims.