Are there any exceptions to the obligation to mediate disputes with Buildingstars?
Buildingstars Franchise · 2025 FDDAnswer from 2025 FDD Document
Notwithstanding the foregoing, the obligation of this Section to mediate will not be binding with respect to claims brought by BUILDINGSTARS and relating to BUILDINGSTARS's trademarks, service marks, patents, or copyrights, including the Marks; claims relating to any lease or sublease of any real property between the parties or their affiliated entities; or requests by BUILDINGSTARS for temporary restraining orders, preliminary injunctions, permanent injunctions or other proceedings in a court of competent jurisdiction to obtain interim or permanent relief when deemed necessary by such court to preserve the status quo or prevent irreparable injury pending resolution of the actual dispute between the parties.
Source: Item 23 — RECEIPT (FDD pages 43–217)
What This Means (2025 FDD)
According to Buildingstars's 2025 Franchise Disclosure Document, while mediation is generally required before initiating court action for disputes, there are specific exceptions where Buildingstars is not obligated to mediate. These exceptions primarily involve claims related to Buildingstars's intellectual property, real property leases, or requests for injunctive relief.
Specifically, Buildingstars is not bound by the mediation requirement for claims pertaining to its trademarks, service marks, patents, or copyrights. This allows Buildingstars to immediately pursue legal action to protect its brand and intellectual assets without first engaging in mediation. Similarly, disputes concerning any lease or sublease of real property between Buildingstars and the franchisee (or their affiliated entities) are exempt from the mediation requirement.
Furthermore, Buildingstars can bypass mediation when seeking temporary restraining orders, preliminary injunctions, permanent injunctions, or other court proceedings to obtain interim or permanent relief. This exception applies when Buildingstars deems it necessary to preserve the status quo or prevent irreparable injury while the underlying dispute is being resolved. These exceptions provide Buildingstars with avenues to quickly address critical issues without the delay of mediation, while the franchisee does not have the same exceptions.