Does the Anago franchise agreement require arbitration before commencing an action in court?

According to Anago's 2025 Franchise Disclosure Document, the Guarantor agrees that all disputes arising under or involving the Guaranty shall be submitted to arbitration as described in Section 18.11 of the Unit Franchise Agreement. Additionally, the Anago Unit Franchisee has agreed to submit disputes to arbitration under the Unit Franchise Agreement.

This means that disputes related to the Guaranty will be resolved through arbitration, a process where a neutral third party hears the arguments and makes a decision, rather than going through the court system. This can potentially save time and money compared to traditional litigation.

It is important for a prospective Anago franchisee to carefully review Section 18.11 of the Unit Franchise Agreement, as referenced in the Guaranty, to fully understand the arbitration process, including the rules, procedures, and selection of the arbitrator. Understanding these details is crucial before signing the franchise agreement and related documents.