Under what conditions can depositions be taken during Checkersrallys arbitration?

According to Checkersrallys's 2025 Franchise Disclosure Document, depositions during arbitration are not permitted without the prior written agreement of both parties. The document states that while the arbitrators have discretion over limited discovery, they cannot order depositions unless both Checkersrallys and the franchisee agree beforehand. This requirement for mutual agreement provides both parties with control over the deposition process.

This condition is significant because depositions can be a costly and time-consuming part of legal proceedings. By requiring both parties to agree, Checkersrallys aims to control these costs and ensure that depositions are only taken when truly necessary. This can be beneficial for franchisees by preventing Checkersrallys from unilaterally imposing the burden of depositions.

However, it also means that if Checkersrallys does not agree to depositions, the franchisee will not be able to take them, even if they believe it is crucial to their case. Prospective franchisees should consider this limitation and factor it into their assessment of the arbitration process. They may want to discuss with Checkersrallys under what specific circumstances the company would agree to allow depositions during arbitration to better understand the potential implications.

In summary, the Checkersrallys franchise agreement seeks to balance the need for discovery with the goal of efficient and cost-effective dispute resolution. Franchisees should carefully consider the implications of this provision and seek clarification from Checkersrallys on their approach to depositions in arbitration.