Does the arbitration section of the Bb.Q Chicken agreement survive termination or nonrenewal?
Bb_Q_Chicken Franchise · 2025 FDDAnswer from 2025 FDD Document
We and you irrevocably waive trial by jury in any action, proceeding, or counterclaim, whether at law or in equity, brought by either of us against the other. Any and all claims and actions arising out of or relating to this Agreement, the relationship of you and us, or your operation of the Franchised Business, brought by either party hereto against the other, whether in arbitration or a legal action, shall be commenced within two (2) years from the occur
Source: Item 23 — RECEIPTS (FDD pages 62–283)
What This Means (2025 FDD)
Based on the 2025 Bb.Q Chicken Franchise Disclosure Document, the franchise agreement includes a clause regarding the statute of limitations for claims and actions. Specifically, any claims or actions arising from the franchise agreement, the relationship between the franchisee and Bb.Q Chicken, or the franchisee's operation of the franchised business must be commenced within two years from the date the cause of action occurred. This limitation applies whether the claim is pursued through arbitration or a legal action.
This means that a franchisee has a limited window of time to bring any claims against Bb.Q Chicken, or vice versa. This two-year period begins from the moment the cause of action arises, not necessarily from the termination or expiration of the agreement. This could have significant implications for franchisees who discover issues or potential claims later, as they may be barred from pursuing them if the two-year period has already elapsed.
For a prospective Bb.Q Chicken franchisee, it is crucial to understand this limitation and to promptly address any concerns or potential claims that may arise during the franchise term. Consulting with an attorney to fully understand the implications of this clause and to ensure timely action on any potential claims is advisable. Franchisees should also keep detailed records of all relevant events and communications to accurately determine when a cause of action occurred.