How are the fees and expenses of the mediator shared between the parties in a Bhc franchise dispute?

According to Bhc's 2025 Franchise Disclosure Document, in the event of a dispute that proceeds to mediation, the fees and expenses of the mediator, along with any other related fees and costs, will be divided equally between Bhc and the franchisee. This arrangement means that both parties share the financial burden of the mediation process.

This equal division of costs is a common practice in franchise mediation, as it encourages both parties to participate actively and seek a resolution. By sharing the expenses, neither party is disproportionately burdened, which can foster a more balanced and fair negotiation environment. This can also incentivize both parties to take the mediation process seriously and work towards a mutually agreeable outcome.

It is important for prospective Bhc franchisees to understand this cost-sharing arrangement, as it represents a potential expense in the event of a dispute. While mediation is intended to be a less costly and time-consuming alternative to litigation or arbitration, the mediator's fees and related costs can still be significant. Franchisees should factor this potential expense into their financial planning and consider it as part of their overall assessment of the franchise opportunity.