What is the defined three-step dispute resolution process for C12 Group?
C12_Group Franchise · 2025 FDDAnswer from 2025 FDD Document
Any franchisee may also appeal via their Regional Representative to bring matters of concern or dispute to the Chair Advisory Council which includes a delegate of the Franchisor's Board of Directors in addition to Franchisor's Officers.
Step Two: If the dispute remains unresolved, either Franchisor or Franchisee may bring the dispute to a panel of three of C12's Board Members, whom You will mutually select, that are not members of the Franchisor's senior staff.
Step Three: If Franchisee is still unwilling to abide by the decision of the panel of the three C12 non-executive Board Members, then Franchisee shall have the right to request binding Christian arbitration.
The parties agree for the arbitration process to be conducted in accordance with the Christian Conciliation Rules of Procedure contained in the ICC booklet Guidelines for Christian Conciliation.
In accordance with the Rules of Procedure for Christian Conciliation of the Institute for Christian Conciliation (complete text of the Rules is available at www.iccpeace.com/rules or by contacting ICC PEACE at info@iccpeace.com or calling 844-707-3223).
Consistent with these rules, each party to the agreement shall agree to the selection of the arbitrator.
The parties agree that if there is an impasse in the selection of the arbitrator, the Institute for Christian Conciliation (hereafter ICC), shall be asked to provide the name of a qualified person who will serve in that capacity.
Consistent with the Rules of Procedure, the arbitrator shall issue a written opinion within a reasonable time.
The parties acknowledge that the resolving of conflicts requires time and financial resources.
In an effort to fully encourage and implement a biblically faithful process, Franchisor agrees to pay all fees and expenses, which may be required by the mediator, case administrator, and/or arbitrator.
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER, AND DISPUTE RESOLUTION (FDD pages 36–40)
What This Means (2025 FDD)
According to C12 Group's 2025 Franchise Disclosure Document, the franchise agreement outlines a three-step dispute resolution process. The first step involves appealing through the Regional Representative to the Chair Advisory Council, which includes a delegate from C12 Group's Board of Directors and officers. This initial step aims to resolve disputes through internal channels.
If the dispute remains unresolved after the first step, the second step allows either C12 Group or the franchisee to bring the dispute to a panel of three mutually selected C12 Group Board Members who are not part of the senior staff. This step provides an opportunity for impartial review by board members outside of the day-to-day management.
The third and final step involves binding Christian arbitration if the franchisee is still not satisfied with the decision of the panel of non-executive Board Members. In this step, the arbitration process is conducted following the Christian Conciliation Rules of Procedure from the Institute for Christian Conciliation (ICC). The franchisor agrees to pay all fees and expenses required by the mediator, case administrator, and/or arbitrator. This culminates in Christian arbitration where the parties engage three Bible-believing Christian arbitrators: one selected by the franchisee, one by C12, and one selected by the first two arbitrators. The remedy recommended by the arbitration panel is binding and final, with no further recourse for either party, subject to state law.