Where must mediation take place for a Carbones Pizzeria franchise dispute?
Carbones_Pizzeria Franchise · 2025 FDDAnswer from 2025 FDD Document
- b. If the dispute is not resolved through the foregoing meeting, the parties agree to submit their dispute to mediation in Hennepin County, Minnesota, with a mutually agreed upon mediator.
The party requesting resolution of an issue will submit the names of three qualified mediators to the other party who shall have the right to select one mediator to mediate.
The procedure developed by the mediator shall control the mediation proceeding.
It is acknowledged that the parties intend to expedite the resolution of any such dispute through the mediation process.
Each party shall pay one-half of the costs of the mediation and their own attorney fees and costs.
- c. If the parties are unable to resolve their dispute through mediation, the matter shall be submitted to arbitration in Hennepin County, Minnesota, under the Rules of the American Arbitration Association with a three (3) panel arbitrator to be established, none of which shall be the previous mediator, with each party choosing one (1) member of the panel and the remaining third party chosen by the two (2) arbitrators previously selected.
Each party shall pay one-half of the cost of the arbitration and their own attorney fees and costs, if any.
Any arbitrator appointed to arbitrate a dispute under this Agreement shall have at least ten (10) years' experience in franchise matters and shall have the right to award, or include in any award, the specific performance of this Agreement.
Source: Item 23 — RECEIPTS (FDD pages 30–116)
What This Means (2025 FDD)
According to Carbones Pizzeria's 2025 Franchise Disclosure Document, if a dispute arises that cannot be resolved through an initial meeting between the parties, the parties agree to submit to mediation in Hennepin County, Minnesota. The mediator must be mutually agreed upon by both parties. The party requesting resolution of the issue is responsible for submitting the names of three qualified mediators to the other party, who then has the right to select one of those mediators.
The procedure developed by the mediator will govern the mediation proceedings, with the intention of expediting the resolution of the dispute. Each party is responsible for paying one-half of the costs associated with the mediation, as well as their own attorney fees and costs.
If mediation is unsuccessful, the dispute will be submitted to arbitration in Hennepin County, Minnesota, under the Rules of the American Arbitration Association. This involves a three-person panel, with each party choosing one member and the two selected arbitrators choosing the third. Each party will bear one-half of the arbitration costs and their own legal fees, if any. The arbitrator must have at least ten years of experience in franchise matters and can award specific performance of the agreement.