How long do the parties have to resolve a dispute through mediation for Alloy before pursuing arbitration?
Alloy Franchise · 2025 FDDAnswer from 2025 FDD Document
Georgia), or at such other place as may be mutually agreeable to the parties, by a mediator or mediation program agreed to by the parties. Persons authorized to settle the dispute must attend any mediation session. The parties agree to participate in the mediation proceedings in good faith with the intention of resolving the dispute if at all possible within 30 days of the notice from the party seeking to initiate the mediation procedures. If not resolved within 30 days, or if one party refuses to participate in mediation as outlined herein, the parties are free to pursue arbitration. Mediation is a compromise negotiation for purposes of the federal and state rules of evidence, and the entire process is confidential. The parties agree that each party will pay fifty percent (50%) of the total of mediation fees and all costs associated with mediation.
Source: Item 23 — RECEIPTS (FDD pages 69–245)
What This Means (2025 FDD)
According to Alloy's 2025 Franchise Disclosure Document, franchisees and Alloy must attempt to resolve disputes through mediation before starting arbitration, with the goal of resolving the dispute within 30 days of the initial notice to mediate. The party seeking mediation must notify the other party of their intent before the termination of the Franchise Agreement.
Specifically, the parties agree to participate in mediation in good faith, aiming to resolve the dispute within 30 days from the date the party seeking mediation sends notice. If the dispute is not resolved within this 30-day period, or if one party refuses to participate in the mediation, either party is then free to pursue arbitration.
The mediation will be held in the county where Alloy's headquarters is located (currently Roswell, Georgia), unless both parties agree to another location. Both parties are required to have individuals authorized to settle the dispute present at the mediation session. The costs associated with mediation, including fees, will be split evenly between the parties, with each party paying fifty percent of the total costs.