Where must the non-binding mediation take place for a Bhc franchise dispute?
Bhc Franchise · 2025 FDDAnswer from 2025 FDD Document
- (b) If the parties are unable to settle the Dispute at the Settlement Conference, then within 10 business days after the date the Settlement Conference took place (or should have taken place), Franchisee and Franchisor may submit the dispute to non-binding mediation conducted by and before a mediator who is a State Bar of California Board of Legal Specialization Certified Specialist in Franchise and Distribution Law at a location in California mutually agreeable to both parties.
If the Dispute is not referred to mediation within 10 business days after the Settlement Conference took place (or should have taken place), the Dispute may be immediately submitted to binding resolution through arbitration proceedings pursuant to section 14.2 below.
Any mediation proceedings should be completed within 60 days following the date either party first gives notice of mediation.
The fees and expenses of the mediator will be shared equally by the parties.
The mediator will be disqualified as a witness, expert, or counsel for any party with respect to the Dispute and any related matter.
Source: Item 23 — Receipts (FDD pages 52–230)
What This Means (2025 FDD)
According to Bhc's 2025 Franchise Disclosure Document, if a dispute arises between the franchisee and Bhc that cannot be resolved through a settlement conference, the dispute may be submitted to non-binding mediation. This mediation must be conducted by a State Bar of California Board of Legal Specialization Certified Specialist in Franchise and Distribution Law.
The mediation must take place at a location in California that is mutually agreeable to both Bhc and the franchisee. This means that the parties involved have some flexibility in choosing the specific location for the mediation, but it must be within the state of California.
If the dispute is not referred to mediation within 10 business days after the settlement conference, either party can proceed to binding resolution through arbitration. The mediation proceedings should be completed within 60 days after either party gives notice of mediation. The fees and expenses of the mediator will be shared equally by Bhc and the franchisee, ensuring a fair distribution of costs associated with the mediation process.