Where should the arbitration site be for a Big Apple Bagels franchise purchased in Washington?
Big_Apple_Bagels Franchise · 2025 FDDAnswer from 2025 FDD Document
In any arbitration involving a franchise purchased in Washington, the arbitration site shall be either in Washington or in a place as mutually agreed upon at the time of the arbitration, or as determined by the arbitrator at the time of arbitration or mediation.
Source: Item 23 — RECEIPTS (FDD pages 87–319)
What This Means (2025 FDD)
According to Big Apple Bagels' 2025 Franchise Disclosure Document, if a franchisee purchases a franchise in Washington and a dispute arises that leads to arbitration, the arbitration site will be in Washington. However, the arbitration site can be a mutually agreed upon location at the time of arbitration, or as determined by the arbitrator or mediator during the arbitration or mediation process.
This stipulation protects Big Apple Bagels franchisees in Washington by ensuring that they are not forced to travel to a distant or inconvenient location for arbitration. It also provides flexibility, allowing the parties to agree on a more suitable location or to defer to the arbitrator's judgment.
It is important to note that this provision applies specifically to franchises purchased in Washington. Franchisees in other states may be subject to different arbitration clauses in the Big Apple Bagels Franchise Agreement, potentially requiring them to arbitrate disputes in a location chosen by the franchisor, such as the location of the company headquarters. Therefore, prospective franchisees should carefully review the dispute resolution provisions in the FDD and franchise agreement, and consult with an attorney to understand their rights and obligations.