In what metropolitan area is arbitration conducted for Amerispec Inspection Services?
Amerispec_Inspection_Services Franchise · 2025 FDDAnswer from 2025 FDD Document
21.1.3.1Arbitration Procedure. Either party may commence arbitration by sending written demand for arbitration to the other party. The arbitration proceeding shall be conducted by one arbitrator and, except as otherwise provided in this Paragraph 21, shall be conducted in accordance with the then-current Commercial Arbitration Rules of the AAA. All arbitration proceedings will be held at the offices of the AAA or other suitable offices that the Company selects in the metropolitan area in which its principal place of business is then located (currently, Memphis, Tennessee). The arbitrator shall have no authority to select a different hearing locale. All matters relating to arbitration will be governed by the Federal Arbitration Act (9 U.S.C. §§ 1 et seq.).
Source: Item 23 — Receipts (FDD pages 47–172)
What This Means (2025 FDD)
According to the 2025 Amerispec Inspection Services Franchise Disclosure Document, arbitration proceedings will be held at the offices of the American Arbitration Association (AAA) or other suitable offices selected by Amerispec Inspection Services within the metropolitan area where its principal place of business is located. Currently, the principal place of business for Amerispec Inspection Services is Memphis, Tennessee.
This means that any disputes that go to arbitration will take place in the Memphis, Tennessee, metropolitan area, regardless of where the franchisee's business is located. The arbitrator does not have the authority to select a different hearing location. This could create additional travel and lodging expenses for a franchisee who does not live near Memphis, Tennessee, if they are involved in an arbitration proceeding with Amerispec Inspection Services.
It is important to note that this arbitration clause and location apply to Covered Disputes as defined in the franchise agreement, with some exceptions for disputes that cannot be arbitrated under federal statute. The Federal Arbitration Act governs all matters relating to arbitration.