What is the deadline for commencing litigation after requesting mediation with Buona?
Buona Franchise · 2025 FDDAnswer from 2025 FDD Document
No litigation proceeding may be commenced until the earlier of thirty (30) days from the selection of the Mediator, or the mutual agreement by both parties that mediation has been unsuccessful, or if the notified party fails to respond to the requesting party within thirty (30) days of the delivery of notice requesting mediation.
Source: Item 22 — CONTRACTS (FDD page 78)
What This Means (2025 FDD)
According to Buona's 2025 Franchise Disclosure Document, before starting a lawsuit against Buona, both parties must first try to solve their problems through non-binding mediation. This mediation will take place in Cook County, Illinois. Before the mediation starts, both parties have to sign a confidentiality agreement.
According to the FDD, you cannot start a lawsuit until one of these three things happens first: 30 days pass after a mediator is chosen, both parties agree that the mediation isn't working, or the other party doesn't respond to the mediation request within 30 days. The parties will split the costs for the mediator, but each party is responsible for their own additional costs.
This means a Buona franchisee must wait at least 30 days after the mediator is selected before commencing litigation. If the other party doesn't respond to the mediation request within 30 days, the franchisee can then proceed with litigation. This clause aims to encourage dispute resolution through mediation before resorting to litigation, potentially saving both parties time and money. However, it also means that a franchisee must be patient and allow the mediation process to unfold before pursuing legal action.