Where is the specific location for arbitration required for disputes related to the B Bops Development Agreement?
B_Bops Franchise · 2025 FDDAnswer from 2025 FDD Document
| T. Integration/merger clause | Section 26 | Only the terms of the Development Agreement, the documents referred to in and the attachments to the Development Agreement are binding. Any other oral or written promises related to the subject matter of the Development Agreement may not be enforceable. This is not intended to disclaim any representations made in this disclosure document. |
|---|---|---|
| U. Dispute resolution by arbitration or mediation | Section 17 | Except for certain claims related to use of the Licensed Marks or proprietary information, all disputes must be arbitrated in Des Moines, Iowa. |
| V. Choice of forum2 | Section 17 | Arbitration must be commenced in the State of Iowa. |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 40–49)
What This Means (2025 FDD)
According to B Bops's 2025 Franchise Disclosure Document, disputes related to the Development Agreement, except for certain claims related to the use of licensed marks or proprietary information, must be arbitrated in Des Moines, Iowa. The FDD specifies that arbitration must be commenced in the State of Iowa.
This means that if a franchisee has a dispute with B Bops that cannot be resolved through informal means, the franchisee will likely have to travel to Des Moines, Iowa, to participate in arbitration proceedings. This could involve significant travel expenses, legal fees, and time away from their business. Franchisees should factor these potential costs into their decision when considering investing in a B Bops franchise.
It is important to note that this arbitration clause does not apply to all disputes. Specifically, claims related to the use of licensed marks or proprietary information may be subject to different dispute resolution procedures. Franchisees should carefully review the Development Agreement and consult with an attorney to fully understand their rights and obligations in the event of a dispute with B Bops.