What happens if mediation does not resolve the dispute related to the Canopy Lawn Care franchise?
Canopy_Lawn_Care Franchise · 2025 FDDAnswer from 2025 FDD Document
c disclosures and filings as are required by law. All parties must attend mediation. We will pay the costs of the first four hours of any mediation, and no mediation is required to extend beyond such four-hour period.
- 20.2 Except as otherwise provided in this Section 20 (including Section 20.1 and 20.3), any Dispute must be submitted to final and binding arbitration as the sole and exclusive remedy for any such controversy or dispute.
Source: Item 22 — CONTRACTS (FDD page 55)
What This Means (2025 FDD)
According to the 2025 FDD, if mediation does not resolve a dispute related to the Canopy Lawn Care franchise, the dispute must be submitted to final and binding arbitration. This arbitration serves as the sole and exclusive remedy for any controversy or dispute.
The FDD specifies that the Federal Arbitration Act and the Federal Rules of Evidence, as amended, will govern the arbitration process. The arbitration itself will be conducted according to the Commercial Arbitration Rules of the American Arbitration Association, which are in effect at the time the demand for arbitration is made.
This means that a Canopy Lawn Care franchisee gives up the right to sue the franchisor in court and instead must resolve disputes through a private arbitration process, the decision of which is binding. Arbitration is generally faster and less expensive than litigation, but the arbitrator's decision is very difficult to appeal.