Does the Buona franchise agreement allow a franchisee to commence arbitration with a third party against Buona?

According to Buona's 2025 Franchise Disclosure Document, the franchise agreement explicitly prohibits a franchisee from commencing arbitration with a third party against Buona. This restriction is in place to ensure that any disputes are handled directly between Buona and its franchisees, maintaining a clear and controlled legal process.

This limitation means that a franchisee cannot involve other parties in arbitration proceedings against Buona, even if those parties are somehow related to the dispute. Similarly, Buona is restricted from starting arbitration with a third party against the franchisee. The FDD also states that neither party can consolidate or combine an arbitration proceeding involving Buona and the franchisee with another arbitration of any kind, nor attempt to certify a class or participate as a party in a class action against the other.

This clause is designed to keep arbitration matters strictly between the franchisor and franchisee, preventing complex legal situations that could arise from involving outside parties. Prospective franchisees should understand this limitation and consider its implications, especially if they anticipate potential disputes involving other entities. It is advisable to seek legal counsel to fully understand the scope and impact of this restriction.