factual

How are the AAA and mediator fees split during mediation with Best Brains?

Best_Brains Franchise · 2025 FDD

Answer from 2025 FDD Document

Before you may bring any Claim against us in court, you agree to try for a period of 60 days to mediate such claim before a mutually agreed to mediator in the city or county where our headquarters are located.

If we can not mutually agree on a mediator, you and we agree to use the mediation services of the American Arbitration Association ("AAA), and split any AAA and mediator fees equally.

Source: Item 23 — RECEIPTS (FDD pages 42–190)

What This Means (2025 FDD)

According to Best Brains' 2025 Franchise Disclosure Document, if a franchisee has a claim against Best Brains and the parties cannot agree on a mediator, they will use the mediation services of the American Arbitration Association (AAA). In this case, the FDD states that any AAA and mediator fees will be split equally between Best Brains and the franchisee. This requirement is part of the mediation process that the franchisee must attempt for a period of 60 days before bringing any claim against Best Brains in court. The mediation must occur before a mutually agreed to mediator in the city or county where Best Brains' headquarters are located.

This arrangement means that a franchisee will be responsible for half of the costs associated with the mediator and the AAA if their services are required. This could potentially involve significant expenses, depending on the complexity of the dispute and the mediator's fees. Franchisees should factor in these potential costs when evaluating the financial implications of investing in a Best Brains franchise.

It is also important to note that before initiating mediation, the franchisee must first notify Best Brains of the claim within thirty (30) days of the occurrence of the violation or breach and attempt to resolve it internally with the CEO. Failure to follow these steps could preclude any claim for damages. Therefore, franchisees should be aware of the required procedures for dispute resolution as outlined in the Franchise Agreement.

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.