Under what condition can the location of the All Team mediation be changed?
All_Team Franchise · 2025 FDDAnswer from 2025 FDD Document
Before any party may bring an action in court for any controversy, dispute or claim between ATFC and USER arising from this Agreement or the franchise relationship, the parties must first have a conference with each other to try to resolve the dispute. If this fails to bring about a resolution, the dispute will first be submitted to non-binding mediation (the "Mediation") in Tampa, Florida unless the parties mutually agree to another location.
Source: Item 23 — RECEIPT (FDD pages 34–161)
What This Means (2025 FDD)
According to All Team's 2025 Franchise Disclosure Document, the initial location for mediation is Tampa, Florida. However, the location can be changed if both All Team Franchise Corporation (ATFC) and the franchisee (USER) mutually agree to another location. This agreement provides flexibility for both parties involved in the franchise relationship to find a mediation location that is convenient or suitable for their specific circumstances.
This clause ensures that disputes are first attempted to be resolved through mediation before any court action is taken. The mediation process is designed to be non-binding, meaning that neither party is forced to accept the outcome of the mediation. The cost of the mediation, including the mediator's fees and expenses, is to be paid by the franchisee (USER). This financial responsibility should be considered by prospective franchisees when evaluating the potential costs associated with dispute resolution.
It is important to note that all negotiations and mediation proceedings are to be kept strictly confidential. This confidentiality extends to any discovery conducted, statements made, and settlement offers exchanged during the mediation. The mediator is also prohibited from being called as a witness in any subsequent court or arbitration proceeding. This confidentiality provision aims to encourage open and honest communication during the mediation process, without fear that statements made during mediation will be used against either party in future legal proceedings.
Failure to participate in mediation before starting litigation or arbitration can result in the dismissal of those proceedings. This requirement emphasizes the importance All Team places on attempting to resolve disputes through mediation before resorting to more formal and costly legal processes. Franchisees should be aware of this requirement and ensure they comply with it to avoid potential legal setbacks.