In a dispute with Bevaris Alliance, how soon after referral to the expert must a written decision be issued?
Bevaris_Alliance Franchise · 2024 FDDAnswer from 2024 FDD Document
| Provision | Section in Franchise Agreement | Summary |
|---|---|---|
| u. Dispute resolution by arbitration or mediation | Section 24 | If the parties have a dispute, the parties shall agree on the appointment of an expert, who shall issue a written decision and give notice of the decision to the parties within 90 days of the matter being referred to the expert. The expert’s decision shall be final and binding on the parties. |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 17–18)
What This Means (2024 FDD)
According to Bevaris Alliance's 2024 Franchise Disclosure Document, disputes between the parties will be resolved through an expert. The expert is jointly selected by both parties. Once the matter is referred to the expert, they must issue a written decision within 90 days.
This 90-day period provides a defined timeframe for resolution, which can be beneficial for franchisees seeking a swift resolution to disputes. The expert's decision is final and binding, meaning both Bevaris Alliance and the franchisee must adhere to it. This can save time and money compared to lengthy court battles.
While the FDD specifies the timeframe for the expert's decision, it does not detail the process for selecting the expert or what happens if the parties cannot agree on an expert. It also does not specify who bears the costs of the expert. A prospective franchisee should seek clarification from Bevaris Alliance on these points to fully understand the dispute resolution process.