Where will arbitration occur for Camp Margaritaville franchise disputes, and who bears the costs?
Camp_Margaritaville Franchise · 2025 FDDAnswer from 2025 FDD Document
(g) if the arbitration panel does not decide any issue connected with the dispute, then either Party to this Agreement may apply to any court of competent jurisdiction for equitable relief and/or damages regarding that issue, after complying with the procedure set forth above.
Section 17.04 Equitable Relief. Notwithstanding anything to the contrary herein, Franchisor is entitled to injunctive or other equitable relief, including restraining orders and preliminary injunctions, in any court of competent jurisdiction for any threatened or actual material breach this Agreements or non-compliance with the Margaritaville Standards. In such event, Franchisee hereby consents to jurisdiction and venue in the state or federal court where Franchisor's headquarters are located at the time of filing (currently, Orlando, Florida) and Franchisee waives all objections to venue, including objections based on forum non conveniens**.** Franchisor is entitled to such relief without the necessity of proving the inadequacy of money damages as a remedy, without the necessity of posting a bond and without waiving any other rights or remedies.
Section 17.05 Costs and Attorneys' Fees. If either Party initiates a formal legal proceeding under or relating to this Agreement or the relationship between Franchisee and Franchisor (and/or any of its Affiliates), the non-Prevailing Party in that proceeding (as determined by the arbitration panel or judge, as applicable) must reimburse the Prevailing Party for all of the Prevailing Party's costs and expenses that it incurs, including reasonable accounting, attorneys', and related fees.
Source: Item 23 — RECEIPTS (FDD pages 72–406)
What This Means (2025 FDD)
According to Camp Margaritaville's 2025 Franchise Disclosure Document, if a party initiates a formal legal proceeding relating to the Franchise Agreement, the non-prevailing party must reimburse the prevailing party for all costs and expenses incurred. These costs include reasonable accounting, attorneys', and related fees, as determined by the arbitration panel or judge.
However, the document also states that Camp Margaritaville is entitled to injunctive or other equitable relief in any court of competent jurisdiction for any threatened or actual material breach of the Agreements or non-compliance with the Margaritaville Standards. In such cases, the franchisee consents to jurisdiction and venue in the state or federal court where Camp Margaritaville's headquarters are located at the time of filing, which is currently in Orlando, Florida. The franchisee also waives all objections to venue, including objections based on forum non conveniens.
Camp Margaritaville is entitled to such relief without proving the inadequacy of money damages as a remedy, without posting a bond, and without waiving any other rights or remedies. If the arbitration panel does not decide any issue connected with the dispute, either party may apply to any court of competent jurisdiction for equitable relief and/or damages regarding that issue, after complying with the procedure set forth above.