What options are available for determining the arbitration or mediation site for an Alloy franchise in Washington?
Alloy Franchise · 2025 FDDAnswer from 2025 FDD Document
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- Site of Arbitration, Mediation, and/or Litigation. In any arbitration or mediation involving a franchise purchased in Washington, the arbitration or mediation site will be either in the state of Washington, or in a place mutually agreed upon at the time of the arbitration or mediation, or as determined by the arbitrator or mediator at the time of arbitration or mediation.
Source: Item 23 — RECEIPTS (FDD pages 69–245)
What This Means (2025 FDD)
According to Alloy's 2025 Franchise Disclosure Document, if a franchisee purchases a franchise in Washington, the arbitration or mediation site can be determined in one of three ways. First, the site can be in the state of Washington. Second, the site can be in a place mutually agreed upon at the time of the arbitration or mediation. Third, the arbitrator or mediator can determine the site at the time of arbitration or mediation.
This addendum clarifies that Washington state law takes precedence over conflicting terms in the franchise agreement. This ensures that franchisees operating in Washington have the benefit of the state's franchise laws, particularly concerning dispute resolution.
This provision is specific to Washington and is designed to protect franchisees in the event of disputes with Alloy. It provides flexibility in determining the location of arbitration or mediation, which can be beneficial for franchisees who may not have the resources to travel to Alloy's headquarters for dispute resolution. Prospective franchisees should consult with a legal professional to fully understand their rights and obligations under Washington state law.