Where will arbitration or mediation take place for a Carvel franchise purchased in Washington?
Carvel Franchise · 2025 FDDAnswer from 2025 FDD Document
Site of Arbitration, Mediation, and/or Litigation.** In any arbitration or mediation involving a franchise purchased in Washington, the arbitration or mediation site will be either in the state of Washington, or in a place mutually agreed upon at the time of the arbitration or mediation, or as determined by the arbitrator or mediator at the time of arbitration or mediation.
Source: Item 23 — Receipts (FDD pages 100–353)
What This Means (2025 FDD)
According to Carvel's 2025 Franchise Disclosure Document, if a Carvel franchise is purchased in Washington, the arbitration or mediation site will be in Washington. However, the location can also be a place mutually agreed upon at the time of the arbitration or mediation. The arbitrator or mediator can also determine the location at the time of arbitration or mediation.
This addendum modifies the standard franchise agreement to comply with Washington state law, which is a common practice in franchising to ensure that franchise agreements adhere to local regulations. This ensures that franchisees are not forced to travel to a distant location for dispute resolution, which could be a significant financial burden.
This clause provides more flexibility and protection for Carvel franchisees in Washington, as it allows for arbitration or mediation to occur within the state, or at a location agreed upon by both parties. This can save the franchisee time and money, and ensures that disputes are resolved in a location that is convenient for them.