What relief can the arbitrator award in a Beem Light Sauna arbitration?

According to Beem Light Sauna's 2025 Franchise Disclosure Document, the arbitrator in an arbitration proceeding has broad authority to grant relief. This includes any relief the arbitrator deems proper, such as money damages, with interest accruing on unpaid amounts from the date they were due. The arbitrator can also order specific performance, which compels a party to fulfill their contractual obligations, and issue injunctive relief, which is a court order requiring a party to do or cease doing a specific action.

Additionally, the arbitrator can award attorneys' fees and costs, calculated on a solicitor and its own client basis. However, there are limitations to the arbitrator's power. The arbitrator cannot declare any Mark generic or otherwise invalid. Furthermore, the arbitrator is generally prohibited from awarding any special, consequential, exemplary, or punitive damages against either party, as both Beem Light Sauna and the franchisee waive any right to claim such damages, except as expressly provided in Section 16.5 regarding the mutual waiver of punitive damages.

This means that while a Beem Light Sauna franchisee can seek various forms of compensation and legal remedies through arbitration, they are also limited in the types of damages they can recover. They cannot seek punitive damages unless specifically allowed under Section 16.5, and they are barred from claiming special or consequential damages. This waiver could impact the potential financial recovery in case of a dispute, so franchisees should carefully consider this limitation.