factual

Who is responsible for attorneys' fees associated with Buff City Soap arbitration?

Buff_City_Soap Franchise · 2025 FDD

Answer from 2025 FDD Document

Each Party will be responsible for its own attorneys' fees associated with the arbitration and for such costs as it is liable pursuant to the CPR Rules.

Source: Item 23 — Receipts (FDD pages 69–186)

What This Means (2025 FDD)

According to Buff City Soap's 2025 Franchise Disclosure Document, each party involved in an arbitration is responsible for their own attorneys' fees. This means that if a franchisee and Buff City Soap enter into arbitration, each side will bear the cost of their respective legal representation.

This arrangement is fairly common in franchising, as it avoids the potential for one party to be saddled with the other's legal expenses, which could be substantial. It also encourages both parties to carefully consider the merits of their case before pursuing arbitration, as they know they will be responsible for their own legal bills.

In addition to attorneys' fees, each party is also responsible for the costs they incur as per the rules established by the International Institute for Conflict Prevention & Resolution (CPR), the organization from whose panels the arbitrator will be chosen. These costs could include filing fees, expert witness fees, and other expenses related to presenting their case in arbitration. Franchisees should familiarize themselves with the CPR rules to understand the potential costs involved.

Disclaimer: This information is extracted from the 2025 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.