What authority does the arbitrator have regarding damages in an arbitration with Beverly Anns Cookie?
Beverly_Anns_Cookie Franchise · 2025 FDDAnswer from 2025 FDD Document
The arbitrator will have authority to assess actual damages sustained by reason of any breach or wrongful termination of this Franchise Agreement, including monetary damages and interest on unpaid amounts from date due, specific performance, injunctive and declaratory relief, and legal fees and costs, but will not have any authority to amend or modify the terms of this Franchise Agreement or to assess exemplary or punitive damages.
Except for claims excluded from mediation and arbitration herein, the arbitrator, and not any federal, state, or local court or agency, shall have exclusive authority to resolve any dispute relating to the interpretation, applicability, enforceability or formation of this Franchise Agreement including, but not limited to any claim that all or any part of this Franchise Agreement is void or voidable.
- 27.2.6 Time Schedule.
Source: Item 23 — RECEIPTS (FDD pages 57–235)
What This Means (2025 FDD)
According to the 2025 Beverly Anns Cookie Franchise Disclosure Document, the arbitrator in a dispute has specific authority regarding damages. The arbitrator can assess actual damages resulting from a breach or wrongful termination of the Franchise Agreement. This includes monetary damages, interest on unpaid amounts from the date they were due, specific performance, injunctive and declaratory relief, as well as legal fees and costs.
However, the arbitrator's authority is limited. They cannot amend or modify the terms of the Franchise Agreement, nor can they assess exemplary or punitive damages. This means that while the arbitrator can address direct financial losses and compel specific actions, they cannot impose penalties intended to punish the breaching party beyond compensating for the actual harm done.
The arbitrator, rather than any court or agency, has the exclusive authority to resolve disputes regarding the interpretation, applicability, enforceability, or formation of the Franchise Agreement. This includes claims that any part of the agreement is void or voidable, except for claims excluded from mediation and arbitration. The arbitrator's decision is binding on both parties, and judgment upon the decision may be entered in any court with jurisdiction.