Where will the arbitration or mediation site be located for a Bambu franchise purchased in Washington?
Bambu Franchise · 2025 FDDAnswer from 2025 FDD Document
In any arbitration or mediation involving a franchise purchased in Washington, the arbitration or mediation site will be either in the state of Washington, or in a place mutually agreed upon at the time of the arbitration or mediation, or as determined by the arbitrator or mediator at the time of arbitration or mediation. In addition, if litigation is not precluded by the franchise agreement, a franchisee may bring an action or proceeding arising out of or in connection with the sale of franchises, or a violation of the Washington Franchise Investment Protection Act, in Washington.
Source: Item 23 — Receipts (FDD pages 52–209)
What This Means (2025 FDD)
According to Bambu's 2025 Franchise Disclosure Document, specifically the Washington Rider to the MUD Agreement, the arbitration or mediation site for a Bambu franchise purchased in Washington will be determined in one of three ways. First, the site can be in the state of Washington. Second, the site can be in a place mutually agreed upon by both parties (Bambu and the franchisee) at the time of the arbitration or mediation. Third, if no mutual agreement is reached, the arbitrator or mediator will determine the location at the time of the arbitration or mediation.
This stipulation is important for prospective Bambu franchisees in Washington because it ensures that they will not necessarily be required to travel to a distant location for dispute resolution. This can significantly reduce the costs and logistical challenges associated with arbitration or mediation. The franchisee has some degree of influence over the location, either through mutual agreement or by having the arbitrator/mediator make the determination.
It is also noted that if litigation is not precluded by the franchise agreement, a franchisee may bring an action or proceeding arising out of or in connection with the sale of franchises, or a violation of the Washington Franchise Investment Protection Act, in Washington. This provides an additional layer of protection for franchisees in Washington, allowing them to pursue legal action within their own state under certain circumstances.