Does the Augusta Lawn Care FDD require me to confirm I understand that disputes must be litigated in Washington?
Augusta_Lawn_Care Franchise · 2025 FDDAnswer from 2025 FDD Document
Except as provided in Section 11.9, and if not resolved by the negotiation and mediation procedures described in Section 11.7 above, any dispute, controversy, or claim between you and/or any of your Related Parties, on the one hand, and Augusta Lawn Care and/or any of Augusta Lawn Care's Related Parties, on the other hand, including, without limitation, any dispute, controversy, or claim arising under, out of in connection with or related to: (a) this Agreement; (b) the relationship of the parties; (c) the events leading up to the execution of this Agreement; (d) any loan or other finance arrangement between you and Augusta Lawn Care or its Related Parties; (e) the parties' relationship; (f) any System standard; (g) any claim based in tort or any theory of negligence; and/or (j) the scope or validity of the arbitration obligation under this Agreement, shall be determined in Whatcom County, Washington, by the American Arbitration Association ("AAA"). This arbitration clause will not deprive Augusta Lawn Care of any right it may otherwise have to seek provisional injunctive relief from a court of competent jurisdiction.
- 11.8.1 The arbitration will be administered by the AAA pursuant to its Commercial Arbitration Rules then in effect by one (1) arbitrator. The arbitrator shall be an attorney with substantial experience in franchise law. If proper notice of any hearing has been given, the arbitrator will have full power to proceed to take evidence or to perform any other acts necessary to arbitrate the matter in the absence of any party who fails to appear.
- 11.8.2 In connection with any arbitration proceeding, each party will submit or file any claim which would constitute a compulsory counterclaim (as defined by the then-current Rule 13 of the Federal Rules of Civil Procedure) within the same proceeding as the claim to which it relates. Any such claim which is not submitted or filed in such proceeding will be forever barred.
- 11.8.3 Any arbitration must be on an individual basis and the parties and the arbitrator will have no authority or power to proceed with any claim as a class action, associational
Source: Item 23 — RECEIPTS (FDD pages 44–184)
What This Means (2025 FDD)
According to the 2025 Augusta Lawn Care Franchise Disclosure Document, franchisees are required to resolve disputes through arbitration in Whatcom County, Washington. The FDD states that any dispute, controversy, or claim between the franchisee and Augusta Lawn Care must be determined in Whatcom County, Washington, by the American Arbitration Association (AAA). This includes disputes related to the franchise agreement, the relationship of the parties, events leading up to the agreement, loan arrangements, system standards, tort claims, and the validity of the arbitration obligation.
The arbitration process will be administered by the AAA, using a single arbitrator with substantial experience in franchise law. The arbitrator has the authority to proceed even if a party fails to appear, provided proper notice has been given. The arbitrator must follow the law and cannot disregard the terms of the agreement. They also have the power to issue summary orders and provide various forms of relief, such as temporary restraining orders and injunctions, and their subpoena powers are limited by the laws of Washington State.
This arbitration clause does not prevent Augusta Lawn Care from seeking provisional injunctive relief from a court of competent jurisdiction. Additionally, any legal action between the parties must be conducted on an individual basis, not as a class action. Franchisees are also required to submit any compulsory counterclaims within the same proceeding, or those claims will be barred. By agreeing to these terms, franchisees acknowledge that disputes will be resolved through arbitration in Washington, which may affect their ability to pursue legal action in other locations or as part of a class.