What is the C12 Group franchisee's responsibility regarding the selection of an arbitrator?
C12_Group Franchise · 2025 FDDAnswer from 2025 FDD Document
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 22 — CONTRACTS (FDD page 46)
What This Means (2025 FDD)
According to the 2025 FDD, the C12 Group franchise agreement outlines a multi-step dispute resolution process. Initially, a franchisee can appeal to the Chair Advisory Council through their Regional Representative. If the dispute persists, either the C12 Group Franchisor or the franchisee can escalate the issue to a panel of three mutually selected C12 Group Board Members who are not part of the Franchisor's senior staff.
Should the franchisee remain unsatisfied with the panel's decision, they have the right to request binding Christian arbitration. The arbitration process is to be conducted following the Christian Conciliation Rules of Procedure detailed in the ICC booklet Guidelines for Christian Conciliation. A key aspect of this process is that both parties, the C12 Group and the franchisee, must agree on the selection of the arbitrator.
In the event that an agreement cannot be reached on the arbitrator, the Institute for Christian Conciliation (ICC) will be asked to provide a qualified individual to serve as the arbitrator. The C12 Group commits to covering all fees and expenses associated with the mediator, case administrator, and/or arbitrator, aiming to encourage a biblically faithful resolution process. This financial commitment from the C12 Group reduces the financial burden on the franchisee during dispute resolution.