Under what circumstances will disputes related to the All Team franchise be submitted to binding arbitration?
All_Team Franchise · 2025 FDDAnswer from 2025 FDD Document
lief when deemed necessary by such court to preserve the status quo or prevent irreparable injury pending resolution of the actual dispute between the parties shall be brought in either federal or state courts in Tampa, FL. Both parties agree to submit to the jurisdiction of the state and federal court in Tampa, FL.
C. Arbitration. In the event that the federal court described above does not have subject matter jurisdiction over the dispute, the parties, subject to all other provisions above, will submit the dispute to binding arbitration conducted in Tampa, FL (unless the parties mutually agree otherwise). The arbitration proceeding will be conducted in accordance with the then current commercial arbitration rules of the American Arbitration Association ("AAA Rules"), except to the extent the AAA Rules differ from the terms of this Agreement, in which event the terms of this Agreement will apply. Notwithstanding the foregoing, the arbitration does not have to be conducted under the AAA. The arbitrator must be mutually selected by the parties and must have at least 5 years of substantial experience in franchise law. Each party will be limited to 25 document requests, 15 interrogatories and 1 deposition unless otherwise agreed to between the parties. For purposes of this Section, if any dispute that names, involves or includes ATFC, it respective affiliates, officers, directors, agents, brokers or employees, such persons or entities shall also be included in and made party to the arbitration proceeding to the extent such parties consent to proceeding forward in arbitration.
The arbitrator will have the right to award or include in his award any relief which he deems proper in the circumstances, including money damages (with interest on unpaid amounts from date due), specific performance, and attorneys' fees and costs; however, the arbitrator will not be allowed to award or include in his award any punitive, exemplary, or consequential damages, to which the parties waive any right. The arbitrator, and not any federal, state, or local court or agency, shall have exclusive authority to resolve any dispute relating to the interpretation, applicability, or enforceability of this Section, including but not limited to, any claim that all or any part of this Section is void or voidable. The award and decision of the arbitrator will be conclusive and binding upon all parties, and judgment upon the award may be entered in any court of competent jurisdiction;
Source: Item 22 — CONTRACTS (FDD pages 33–34)
What This Means (2025 FDD)
According to All Team's 2025 Franchise Disclosure Document, disputes between All Team and a franchisee will be submitted to binding arbitration if the Federal District Court in Tampa, FL, does not have subject matter jurisdiction over the dispute. The arbitration will take place in Tampa, FL, unless both parties agree to a different location.
The arbitration proceeding will follow the American Arbitration Association's (AAA) commercial arbitration rules, but if those rules conflict with the franchise agreement, the agreement's terms will take precedence. The parties can mutually agree to use an arbitrator not associated with the AAA. The arbitrator chosen must have at least five years of experience in franchise law and be mutually selected by both parties.
To manage the scope of discovery, each party is limited to 25 document requests, 15 interrogatories, and one deposition, unless they agree otherwise. If the dispute involves All Team, its affiliates, officers, directors, agents, brokers, or employees, these individuals or entities will also be included in the arbitration if they consent to participate. The arbitrator must apply any applicable statute of limitations, and both All Team and the franchisee must submit any compulsory counterclaims as defined by Rule 13 of the Federal Rules of Civil Procedure within the same proceeding. The arbitration will be conducted on an individual basis, not as a class action, and consolidation with proceedings involving third parties is not allowed.