How are disputes resolved with Better Blend, according to the franchise agreement?

According to Better Blend's 2024 Franchise Disclosure Document, disputes are primarily resolved through arbitration. Specifically, all disputes are resolved by arbitration, except for actions seeking injunctive relief. This means that if Better Blend or a franchisee has a disagreement, they must resolve it through an arbitration process rather than through a traditional lawsuit in court. This is subject to applicable state law.

The arbitration will take place at Better Blend's headquarters, which is currently located in Cincinnati, Ohio, although this is also subject to applicable state law. However, if the dispute involves seeking injunctive relief (a court order to stop someone from doing something), then arbitration is not required, and legal proceedings can occur. Any legal proceedings not subject to arbitration will take place in the District Court of the United States, in the district where Better Blend’s headquarters is then located, or if this court lacks jurisdiction, the state courts of the state and county where their headquarters is then located.

This mandatory arbitration clause is a common feature in franchise agreements. Arbitration is generally considered a faster and less expensive method of dispute resolution compared to litigation. However, it also means that a franchisee gives up the right to sue Better Blend in court and have a jury trial. The arbitrator's decision is typically binding and difficult to appeal. Prospective franchisees should understand the implications of agreeing to arbitration and consider consulting with an attorney to discuss their rights and options.