factual

Does the right to recover post-arbitration award and post-judgment expenses survive the award or judgment in the Bft franchise agreement?

Bft Franchise · 2025 FDD

Answer from 2025 FDD Document

Separate and distinct from the right of a prevailing Party to recover expenses, costs and fees in connection with any legal proceeding or arbitration, the prevailing Party shall also be entitled to receive all expenses, costs and reasonable attorneys' fees incurred in connection with the enforcement of any arbitration award or judgment entered, to the extent permitted by applicable law.

Furthermore, the right to recover post-arbitration award and post judgment expenses, costs and attorneys' fees shall be severable and shall survive any award or judgment and shall not be deemed merged into such judgment.

Source: Item 23 — RECEIPTS (FDD pages 79–265)

What This Means (2025 FDD)

According to Bft's 2025 Franchise Disclosure Document, the right to recover post-arbitration award and post-judgment expenses, costs, and attorneys' fees survives any award or judgment and is not considered merged into the judgment. This means that even after an arbitration award or court judgment is issued, the prevailing party can still pursue the recovery of expenses, costs, and attorneys' fees incurred in enforcing that award or judgment. This right is separate and distinct from the right to recover expenses, costs, and fees in connection with the initial legal proceeding or arbitration.

For a prospective Bft franchisee, this is a beneficial term. It ensures that if they win an arbitration or court case against Bft and obtain a favorable judgment, they can recover the costs associated with enforcing that judgment. This can include additional legal fees and expenses incurred in collecting the awarded amount. This provision reduces the risk of incurring uncompensated costs when enforcing a judgment or award.

This clause provides an additional layer of protection for the prevailing party, as it acknowledges that the enforcement of an award or judgment may require further legal action and expenses. By ensuring the recovery of these costs, the franchise agreement aims to make the prevailing party whole and discourages non-compliance with arbitration awards or judgments.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.