What specific power does the arbitrator have regarding the Carbones Pizzeria franchise agreement?
Carbones_Pizzeria Franchise · 2025 FDDAnswer from 2025 FDD Document
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.
The arbitrator will be instructed that he or she must follow the substantive law and the other requirements, waivers and limitations of this Agreement.
The arbitrator shall have no authority to add, delete or modify in any manner, the terms and provisions of this Agreement and may not excuse performance of a material term of this Agreement.
However, if an arbitrator determines that any contractual limitations period provided for in this Agreement is not applicable or enforceable, then the parties agree to be bound by the provision of any statute of limitations which would otherwise be applicable to the controversy, dispute or claim which is the subject of any arbitration proceeding initiated hereunder.
The arbitrator is expressly prohibited from determining whether class, mass, collective or consolidated relief is permitted hereunder or from awarding the same.
All findings, judgments, decisions and awards of the arbitrator shall be limited to the dispute or controversy set forth in the written demand for arbitration and response to that demand.
The arbitrator shall issue a reasoned award.
Judgment upon the award of the arbitrator may be entered in any court having jurisdiction thereof.
Source: Item 23 — RECEIPTS (FDD pages 30–116)
What This Means (2025 FDD)
According to the 2025 Carbones Pizzeria Franchise Disclosure Document, an arbitrator appointed to resolve disputes has the power to award specific performance of the franchise agreement, provided they have at least ten years of experience in franchise matters. This means the arbitrator can order a party to fulfill their obligations under the agreement, rather than just awarding monetary damages.
However, the arbitrator's authority is limited. They must follow the substantive law, requirements, waivers, and limitations outlined in the agreement. The arbitrator cannot add, delete, or modify any terms of the agreement, nor can they excuse performance of a material term. The arbitrator is also prohibited from determining whether class, mass, collective, or consolidated relief is permitted or from awarding such relief.
The arbitrator's findings are restricted to the specific dispute presented in the written demand for arbitration and the response to that demand. The arbitrator must issue a reasoned award, and judgment upon the award can be entered in any court with jurisdiction. The award is binding, final, and nonappealable, except as permitted under the United States Arbitration Act or if the arbitrator fails to meet the requirements specified in the agreement.