Is the alternative dispute resolution process required for claims involving the ownership, validity, or use of the Proprietary Marks of Ben Jerrys?
Ben_Jerrys Franchise · 2025 FDDAnswer from 2025 FDD Document
- 26.2 Except as otherwise provided in this Agreement, any claim or controversy arising out of or related to this Agreement (including any claim that the Agreement or any of its provisions is invalid, illegal, or otherwise voidable or void), the relationship between BEN & JERRY'S and OPERATOR, or OPERATOR's operation of the Scoop Shop shall, as a condition to filing the legal action, first be subject to the alternative dispute resolution process ("ADR Process"). The ADR process shall not be required by either BEN & JERRY'S or OPERATOR with respect to (a) any claim or dispute involving actual or threatened disclosure or misuse of the confidential information of BEN & JERRY'S, (b) any claim or dispute involving the ownership, validity, or use of the Proprietary Marks, (c) any claim or dispute related to monies owed to BEN & JERRY'S by OPERATOR (including, but not limited to, all actions to collect such monies owed (whether by BEN & JERRY'S or a collection agency designated by BEN & JERRY'S)), (d) any claim or dispute involving the insurance or indemnification provisions of this Agreement, or (e) any action to enforce the covenants set forth in Section 17 of this Agreement.
Source: Item 22 — CONTRACTS (FDD pages 133–134)
What This Means (2025 FDD)
According to Ben Jerrys's 2025 Franchise Disclosure Document, the alternative dispute resolution (ADR) process is not required for claims or disputes involving the ownership, validity, or use of the Proprietary Marks. This means that if a dispute arises concerning these specific issues, either Ben Jerrys or the franchisee can bypass the ADR process and proceed directly to legal action.
This exception to the ADR process provides Ben Jerrys with the ability to immediately address any potential infringement or misuse of their Proprietary Marks through legal means, without the delay of first engaging in alternative dispute resolution. For a franchisee, this means that if they have a dispute with Ben Jerrys regarding the Proprietary Marks, they are not obligated to participate in the ADR process before pursuing legal remedies.
This approach is relatively common in franchising, particularly concerning intellectual property. Franchisors often reserve the right to immediately pursue legal action to protect their trademarks and brand identity. The franchisee should be aware of this provision and understand their rights and obligations regarding the use of Ben Jerrys's Proprietary Marks, as outlined in the franchise agreement.