For a Brueggers Bagels franchise purchased in Washington, where will arbitration or mediation take place?
Brueggers_Bagels Franchise · 2025 FDDAnswer from 2025 FDD Document
In any arbitration or mediation involving a franchise purchased in Washington, the arbitration or mediation site will be either in the state of Washington, or in a place mutually agreed upon at the time of the arbitration or mediation, or as determined by the arbitrator or mediator at the time of arbitration or mediation.
Source: Item 23 — RECEIPTS (FDD pages 61–335)
What This Means (2025 FDD)
According to Brueggers Bagels' 2025 Franchise Disclosure Document, specifically the Washington Addendum included within Item 23, the location for arbitration or mediation involving a franchise purchased in Washington will be determined in one of three ways. First, the arbitration or mediation site can be in the state of Washington. Second, it can be in a location mutually agreed upon by both parties (Brueggers Bagels and the franchisee) at the time of the arbitration or mediation. Third, the location can be determined by the arbitrator or mediator at the time of the arbitration or mediation.
This provision ensures that Washington franchisees are not forced to travel to a distant or inconvenient location for dispute resolution, which is a protection afforded by the Washington Franchise Investment Protection Act. It provides flexibility, allowing for a mutually agreeable location or a determination by a neutral third party, but establishes Washington as the default location.
This is a beneficial term for prospective Brueggers Bagels franchisees in Washington, as it prevents the franchisor from imposing an inconvenient or costly arbitration location. Franchise agreements often include clauses specifying a particular venue for dispute resolution, which may be unfavorable to the franchisee. This addendum modifies the standard agreement to provide more equitable options for Washington franchisees.