factual

How are the mediator's fees divided between the parties in a Beggars Pizza mediation?

Beggars_Pizza Franchise · 2025 FDD

Answer from 2025 FDD Document

The parties will each bear all of their own costs of mediation; provided, however, the fees of the mediator will be divided equally between the parties.

Source: Item 22 — CONTRACTS (FDD page 39)

What This Means (2025 FDD)

According to the 2025 Beggars Pizza Franchise Disclosure Document, if mediation is required, the fees of the mediator will be divided equally between Beggars Pizza and the franchisee. Each party will bear their own additional costs associated with the mediation.

This means that a franchisee entering into mediation with Beggars Pizza will be responsible for half of the mediator's fees, regardless of the outcome of the mediation. This is a fairly standard arrangement in franchise agreements, as it ensures both parties have a vested interest in resolving the dispute efficiently and fairly.

It's important to note that mediation is not required for certain types of claims or disputes, such as those involving payment obligations more than 45 days past due, actual or threatened disclosure or misuse of confidential information, issues related to the Proprietary Marks, insurance or indemnification provisions, or actions by Beggars Pizza to enforce specific covenants. Franchisees should be aware of these exceptions, as they may impact the dispute resolution process.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.