What is the deadline for Franchisee and Associate to agree on an arbitration group if Bambu is not a party to the dispute?
Bambu Franchise · 2025 FDDAnswer from 2025 FDD Document
If Bambu is not a party to such controversy, dispute or claim, such arbitration proceedings shall be conducted within the area in which Franchisee's Bambū shoppe is based and will be heard by one arbitrator in accordance with the then current commercial arbitration rules of any arbitration group mutually acceptable to Franchisee and Associate, and if Franchisee and Associate cannot agree on an arbitration group within 30 days after demand for arbitration, then the AAA shall conduct such arbitration in accordance with its then current commercial arbitration rules.
Source: Item 23 — Receipts (FDD pages 52–209)
What This Means (2025 FDD)
According to Bambu's 2025 Franchise Disclosure Document, if a dispute arises between a Franchisee and an Associate, and Bambu is not involved, the Franchisee and Associate have 30 days to agree on an arbitration group. This arbitration will take place within the area where the Franchisee's Bambu shop is located and will be overseen by a single arbitrator. The arbitration will follow the commercial arbitration rules of the agreed-upon arbitration group.
If the Franchisee and Associate cannot agree on an arbitration group within the 30-day timeframe, the American Arbitration Association (AAA) will conduct the arbitration. In this case, the AAA's then-current commercial arbitration rules will apply.
This clause ensures that disputes between Franchisees and Associates can be resolved efficiently through arbitration, even without Bambu's direct involvement. The 30-day deadline encourages both parties to find a mutually acceptable arbitration group, but if they fail to do so, the AAA provides a default mechanism to proceed with the arbitration process.