Where will arbitration proceedings be held for Angry Chickz franchise disputes?
Angry_Chickz Franchise · 2025 FDDAnswer from 2025 FDD Document
Arbitration proceedings shall be held at a suitable location to be chosen by the arbitrator which is within twenty-five (25) miles of Company's principal business address at the time that the arbitration action is filed. The arbitrator has no authority to establish a different hearing locale. All matters within the scope of the Federal Arbitration Act (9 U.S.C. Sections 1 et seq.) will be governed by it and not by any state arbitration law.
Source: Item 22 — CONTRACTS (FDD page 54)
What This Means (2025 FDD)
According to the 2025 Angry Chickz Franchise Disclosure Document, arbitration proceedings will be held at a location chosen by the arbitrator. This location must be within 25 miles of Angry Chickz's principal business address at the time the arbitration action is filed. The arbitrator does not have the authority to choose a different location for the hearing.
This means that if a dispute arises between an Angry Chickz franchisee and the company that requires arbitration, the proceedings will take place relatively close to the company's headquarters. This could be advantageous for Angry Chickz, as their personnel would likely find it more convenient to attend the proceedings. However, it could present a logistical challenge for franchisees who live further away from the headquarters, as they would need to factor in travel and accommodation costs.
It is important to note that all arbitration matters within the scope of the Federal Arbitration Act will be governed by it and not by any state arbitration law. This ensures a consistent legal framework for arbitration proceedings across different states. Franchisees should be aware of this clause and understand the implications of the Federal Arbitration Act on their rights and obligations during arbitration.