Does Canine Dimensions conduct arbitration on an individual or class-wide basis?
Canine_Dimensions Franchise · 2025 FDDAnswer from 2025 FDD Document
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- The franchise agreement requires binding arbitration. The arbitration will occur in Florida with the costs being borne by the franchisee and franchisor. Prospective franchisees are encouraged to consult private legal counsel to determine the applicability of California and federal laws (such as Business and Professions Code Section 20040.5 Code of Civil Procedure Section 1281, and the Federal Arbitration Act) to any provisions of a franchise agreement restricting venue to a forum outside the State of California. Business and Professions Code Section 20040.5 relating to forum selection clauses restricting venue outside the state of California or arbitration may be preempted by the Federal Arbitration Act. Section 20040.5 may still apply to any provision relating to judicial proceedings. A binding arbitration provision may not be enforceable under generally applicable contract defenses, such as fraud, duress, or unconscionability.
Source: Item 22 — CONTRACTS (FDD page 36)
What This Means (2025 FDD)
Based on the 2025 Franchise Disclosure Document, the Canine Dimensions franchise agreement requires binding arbitration. However, the document does not specify whether arbitration is conducted on an individual or class-wide basis.
Item 22 includes a state-specific addendum for California which states that the franchise agreement requires binding arbitration and that the arbitration will occur in Florida with the costs being borne by the franchisee and franchisor. It also encourages prospective franchisees to consult with legal counsel to determine the applicability of California and federal laws to any provisions of a franchise agreement restricting venue to a forum outside the State of California.
Since the FDD does not provide specific details on whether arbitration is individual or class-wide, prospective franchisees should seek clarification from Canine Dimensions regarding their arbitration policies. Understanding whether disputes are handled individually or as part of a class action can significantly impact a franchisee's legal options and costs in case of a disagreement.