factual

What disputes related to the C3 Wellness Spa franchise are subject to binding arbitration?

C3_Wellness_Spa Franchise · 2024 FDD

Answer from 2024 FDD Document

(2) Arbitration – Subject to the prerequisite requirements of non-binding mediation as set forth in Sub-Section 7.6(1), and, except, at Franchisor's election, as to any claims or disputes related to or concerning a breach of this Agreement by Franchisee that, under the terms of this Agreement, may entitle Franchisor to the award of injunctive relief, Franchisor and Franchisee agree that all disputes, controversies, and claims, arising from and/or related to this Agreement, the relationship between Franchisor and Franchisee, the System, and/or the validity of this Agreement and/or the Ancillary Agreements, shall be submitted, on demand of either Franchisor or Franchisee, to the AAA for binding arbitration. Arbitration shall be conducted by one arbitrator in accordance with the AAA's then current rules for commercial disputes, except as may be otherwise required in this Section 7.6. All arbitration proceedings shall be conducted in Osceola County, Florida or, if suitable AAA facilities are not available in Osceola County, Florida then at a suitable AAA location selected by the arbitrator that is located closest to Osceola County, Florida.

In connection with binding arbitration, Franchisor and Franchisee further agree that:

Source: Item 23 — RECEIPTS (FDD pages 59–293)

What This Means (2024 FDD)

According to the 2024 C3 Wellness Spa Franchise Disclosure Document, disputes, controversies, and claims arising from or related to the Franchise Agreement, the relationship between the franchisor and franchisee, the System, and/or the validity of the agreement and/or ancillary agreements are subject to binding arbitration. This is on the demand of either the franchisor or the franchisee.

The FDD specifies that this arbitration is subject to prerequisite requirements of non-binding mediation. However, at the franchisor's election, claims or disputes related to a breach of the agreement by the franchisee that may entitle the franchisor to injunctive relief may be excluded from arbitration.

The arbitration will be conducted by one arbitrator following the American Arbitration Association's (AAA) then-current rules for commercial disputes, unless otherwise required. All arbitration proceedings will take place in Osceola County, Florida, or, if suitable AAA facilities are unavailable there, at a suitable AAA location selected by the arbitrator that is located closest to Osceola County, Florida.

Disclaimer: This information is extracted from the 2024 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.