factual

What rules govern the arbitration proceedings for a Caring Senior Service franchise dispute?

Caring_Senior_Service Franchise · 2025 FDD

Answer from 2025 FDD Document

All disputes, claims, and controversies between the parties arising under or in connection with this Agreement or the making, performance or interpretation thereof (including claims of fraud in the

inducement and other claims of fraud and the arbitrability of any matter) which have not been settled through negotiation or mediation will be settled by binding arbitration in Texas under the authority of Texas Statutes. The arbitrator(s) will have a minimum of five (5) years' experience in franchising or distribution law and will have the right to award specific performance of this Agreement. If the parties cannot agree upon a mutually agreeable arbitrator, then the arbitration shall be conducted as per the selection method set forth in the Texas Statutes. The proceedings will be conducted under the commercial arbitration rules of the American Arbitration Association, to the extent such rules are not inconsistent with the provisions of this arbitration provision or the Texas Statutes. The decision of the arbitrator(s) will be final and binding on all parties. This Section 21.1.will survive termination or non-renewal of this Agreement under any circumstances. Judgment upon the award of the arbitrator(s) may be entered in any court having jurisdiction thereof. During the pendency of any arbitration proceeding, you and we shall fully perform our respective obligations under this Agreement. Arbitration will be conducted on an individual, and not a class-wide, basis and an arbitration proceeding between the parties and their respective owners, officers, directors, agents, guarantors, representatives, and/or employees may not be consolidated with any other arbitration proceeding between us and any other person or entity.

Notwithstanding the foregoing, we have the right to apply to any court of competent jurisdiction, in lieu of arbitration to enforce our right to indemnification. The parties each also have the right to apply to any court of competent jurisdiction, in lieu of arbitration, for any Disputes where injunctive or other extraordinary relief is being sought. You and your owners irrevocably consent to the personal jurisdiction of the state and federal courts located in the county in which we maintain our principal place of business for the purpose of this Section.

Source: Item 23 — RECEIPTS (FDD pages 53–204)

What This Means (2025 FDD)

According to the 2025 Caring Senior Service Franchise Disclosure Document, disputes that cannot be resolved through negotiation or mediation will be settled by binding arbitration in Texas, adhering to Texas Statutes. The arbitrator(s) must possess a minimum of five years of experience in franchising or distribution law and have the authority to enforce specific performance of the agreement. If both parties cannot agree on an arbitrator, the selection method will follow Texas Statutes.

The arbitration proceedings will be conducted under the commercial arbitration rules of the American Arbitration Association, unless those rules conflict with the arbitration provision or Texas Statutes. The arbitrator's decision is considered final and binding for all parties involved, and this agreement remains in effect even after termination or non-renewal of the franchise agreement. The judgment upon the arbitrator's award can be entered in any court with jurisdiction. Both parties are required to continue fulfilling their obligations under the agreement during any arbitration proceeding.

Arbitration will be conducted on an individual basis, not as a class-wide action, and proceedings involving Caring Senior Service and its owners, officers, directors, agents, guarantors, representatives, and/or employees cannot be combined with other arbitration proceedings involving the company and any other person or entity. However, Caring Senior Service retains the right to seek enforcement of indemnification in a court of competent jurisdiction instead of arbitration. Additionally, both parties can seek injunctive or other extraordinary relief in court rather than through arbitration. Franchisees and their owners must consent to the personal jurisdiction of state and federal courts in the county where Caring Senior Service maintains its principal place of business for these specific purposes.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.