factual

For a Bombs Away franchise purchased in Washington, where must arbitration take place?

Bombs_Away Franchise · 2024 FDD

Answer from 2024 FDD Document

In any arbitration involving a franchise purchased in Washington, the arbitration site shall be either in the state of Washington, or in a place mutually agreed upon at the time of the arbitration, or as determined by the arbitrator.

Source: Item 22 — CONTRACTS (FDD pages 35–36)

What This Means (2024 FDD)

According to Bombs Away's 2024 Franchise Disclosure Document, if a franchisee purchases a franchise in Washington, the arbitration site must be in the state of Washington. However, the location can be a place mutually agreed upon at the time of the arbitration, or as determined by the arbitrator. This stipulation is part of a Washington addendum to the disclosure document and a rider to the franchise agreement.

This means that franchisees in Washington have some protection under Washington state law regarding where disputes are resolved. This addendum acknowledges that Washington state law (RCW 19.100.180) may supersede the franchise agreement, particularly in areas of termination and renewal. It also addresses potential conflicts of laws, stating that the Washington Franchise Investment Protection Act (Chapter 19.100 RCW) will prevail in such cases.

This clause is beneficial for prospective Bombs Away franchisees in Washington because it prevents Bombs Away from forcing them to arbitrate disputes in a distant or inconvenient location. It ensures that Washington franchisees have the option to resolve disputes within their own state, potentially reducing travel costs and making the legal process more accessible. Franchisees should consult with an attorney to fully understand their rights under Washington law.

Disclaimer: This information is extracted from the 2024 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.