What is the geographic limit regarding the location of the mediation for a Basecamp Fitness dispute, relative to the parties' principal offices?

According to Basecamp Fitness's 2025 Franchise Disclosure Document, if a dispute arises that requires mediation, the location will be determined by the mediator. However, unless both Basecamp Fitness and the franchisee agree otherwise, the mediation must occur in a metropolitan area with a population of at least 250,000 people. This location cannot be within 100 miles of either the franchisee's principal office or Basecamp Fitness's principal office.

This requirement ensures that the mediation takes place in a neutral location, far enough from both parties' primary business locations to avoid potential bias or undue influence. By stipulating a minimum population size for the metropolitan area, the clause aims to ensure that adequate facilities and qualified mediators are available.

For a prospective Basecamp Fitness franchisee, this means that in the event of a dispute requiring mediation, they should be prepared to travel to a mutually agreed-upon location or, failing that, to a metropolitan area selected by the mediator that meets the specified criteria. This could involve additional travel expenses and time away from their Basecamp Studio. Franchisees should factor these potential costs into their business planning and be aware of the geographic limitations on mediation locations.

It is important to note that this clause allows for mutual agreement on an alternative location, providing some flexibility. However, if an agreement cannot be reached, the mediator's decision will prevail, subject to the 100-mile and population requirements. Franchisees should consider the implications of this clause and discuss any concerns with Basecamp Fitness before signing the franchise agreement.