For a Bft franchise purchased in Washington, where will the arbitration or mediation site be located?
Bft Franchise · 2025 FDDAnswer from 2025 FDD Document
In any arbitration or mediation involving a franchise purchased in Washington, the arbitration or mediation site will be either in the state of Washington, or in a place mutually agreed upon at the time of the arbitration or mediation, or as determined by the arbitrator or mediator at the time of arbitration or mediation. In addition, if litigation is not precluded by the franchise agreement, a franchisee may bring an action or proceeding arising out of or in connection with the sale of franchises, or a violation of the Washington Franchise Investment Protection Act, in Washington.
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 57–66)
What This Means (2025 FDD)
According to Bft's 2025 Franchise Disclosure Document, for any arbitration or mediation involving a franchise purchased in Washington, the location will be in the state of Washington. However, the location could also be a place mutually agreed upon by both parties at the time of the arbitration or mediation. Alternatively, the arbitrator or mediator could determine the location at the time of arbitration or mediation.
This means that if a Bft franchisee in Washington has a dispute with the company that goes to arbitration or mediation, the proceedings will most likely take place within Washington state. This can save the franchisee travel costs and time.
However, there is room for negotiation or for the arbitrator/mediator to decide on a different location. It is important to note that if litigation is not precluded by the franchise agreement, a franchisee may bring an action or proceeding arising out of or in connection with the sale of franchises, or a violation of the Washington Franchise Investment Protection Act, in Washington.