What happens if the parties are unable to agree on an arbitrator for Bft?
Bft Franchise · 2025 FDDAnswer from 2025 FDD Document
If the Parties are unable to agree on an arbitrator, an arbitrator having at least five (5) years' experience in the areas involved will be appointed by JAMS.
All proceedings will be conducted at a suitable location chosen by the arbitrator
that is within 50 miles of Franchisor's (or its successor's or assign's, as applicable) then-current principal place of business (currently, Irvine, California), or via a videoconferencing platform, if both Parties agree. All matters relating to arbitration will be governed by the Federal Arbitration Act (9 U.S.C. §§ 1 et seq.). The interim and final awards of the arbitrator shall be final and binding upon each Party, and judgment upon the arbitrator's awards may be entered in any court of competent jurisdiction.
The arbitrator has the right to award or include in his or her awards any relief which he or she deems proper, including money damages, pre- and post-award interest, interim costs and attorneys' fees, specific performance, and injunctive relief, provided that the arbitrator may not declare any of the trademarks owned by Franchisor, or its parents, affiliates, and subsidiaries, generic or otherwise invalid, or award any punitive or exemplary damages against any Party to the arbitration proceeding (Franchisor and Developer hereby waiving to the fullest extent permitted by law any such right to or claim for any punitive or exemplary damages against any Party to the arbitration proceeding). Except as otherwise stated in this Agreement, the arbitrator shall have no authority to issue any relief on any basis other than an individual basis.
The Parties agree that each Party will pay its share of fees and costs in accordance with applicable JAMS rules. If a Party fails to timely pay such fees or costs, the other Party may, in its discretion, advance such costs on behalf of the nonpaying Party. To the extent permitted by applicable law, at the conclusion of the arbitration, the arbitrator shall award to the prevailing Party its fees and costs, including all reasonable experts', attorneys' and other professionals' fees incurred in the proceedings.
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, if the parties involved in a dispute cannot agree on an arbitrator, JAMS (Judicial Arbitration and Mediation Services) will appoint an arbitrator. This arbitrator must have at least five years of experience in the relevant areas of the dispute.
The arbitration proceedings will take place at a location chosen by the arbitrator within 50 miles of Bft's principal place of business, which is currently Irvine, California. Alternatively, if both parties agree, the proceedings can be conducted via a videoconferencing platform. The Federal Arbitration Act governs all matters related to the arbitration.
The arbitrator's decisions are final and binding, and their awards can be enforced in any court with the appropriate jurisdiction. The arbitrator has the authority to grant various forms of relief, including monetary damages, interest, legal fees, specific performance, and injunctive relief. However, the arbitrator cannot invalidate Bft's trademarks or award punitive damages against any party. Each party is responsible for its share of the arbitration fees and costs, following JAMS rules, although a prevailing party may be awarded its fees and costs at the conclusion of the arbitration.