What section number in the Boulder Designs Franchise Agreement addresses dispute resolution by arbitration or mediation?
Boulder_Designs Franchise · 2025 FDDAnswer from 2025 FDD Document
| Provision | Section in the | Summary | |
|---|---|---|---|
| Franchise Agreement | |||
| a. Length of the franchise | Section 4.1 | 10 years. | |
| term | |||
| b. Renewal or extension of | Section 4.2 | Additional 10-year term if certain conditions | |
| the term | are met. | ||
| Provision | Section in the Franchise Agreement | Summary or modify their business relationship with Us, our Affiliate(s) or any other franchisee. | |
| s. Modification of the | Sections 9.2 and | The Franchise Agreement can be modified | |
| agreement | 22.6 | only by written agreement between you and us. | |
| t. Integration/merger clause | Section 22.6 | Only the terms of the Franchise Agreement and all exhibits to the Franchise Agreement are binding (subject to state law). Any representations or promises made outside of the disclosure document and the Franchise Agreement may not be enforceable. | |
| u. Dispute resolution by arbitration or mediation | Section 23.7 | Except for actions or claims for injunctive relief or specific performance or relating to the Marks, Trade Secrets or Confidential Information, all disputes must be mediated in McLennan County, Texas. (Subject to state law) |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 38–44)
What This Means (2025 FDD)
According to Boulder Designs' 2025 Franchise Disclosure Document, Section 23.7 of the Franchise Agreement outlines the dispute resolution process through mediation or arbitration. This section stipulates that, with certain exceptions, all disputes must first undergo mediation in McLennan County, Texas.
Specifically, the requirement for mediation does not apply to actions or claims seeking injunctive relief, specific performance, or those related to the brand's Marks, Trade Secrets, or Confidential Information. This means that Boulder Designs franchisees are required to attempt to resolve most disputes through mediation before pursuing other legal avenues, potentially saving time and money through a less formal resolution process.
It is important to note that these dispute resolution procedures are subject to state law, which may introduce additional requirements or limitations. Franchisees should consult with legal counsel to fully understand their rights and obligations under Section 23.7 and applicable state laws.