Where will the arbitration take place for disputes involving Chicken Guy?
Chicken_Guy Franchise · 2025 FDDAnswer from 2025 FDD Document
The arbitration will take place in the city where Chicken Guy's principal offices are located at the time the demand for arbitration is filed.
The arbitrator will have no authority to select a different hearing locale other than as described in the prior sentence.
Source: Item 22 — CONTRACTS (FDD page 50)
What This Means (2025 FDD)
According to Chicken Guy's 2025 Franchise Disclosure Document, any arbitration proceedings will occur in the city where Chicken Guy's principal offices are located when the demand for arbitration is filed. The arbitrator does not have the authority to select a different location. This condition is designed to ensure consistency and convenience for Chicken Guy in managing legal disputes.
This arrangement means that a franchisee, regardless of their location, may need to travel to Chicken Guy's headquarters for arbitration hearings. This could involve significant travel expenses and logistical challenges for the franchisee. It is a term that franchisees should carefully consider, as it could potentially increase the cost and complexity of resolving disputes with the franchisor.
While the FDD specifies the location of arbitration, it's important to note that all matters relating to arbitration will be governed by the Federal Arbitration Act. This act provides a framework for how arbitrations are conducted and enforced, offering some level of standardization and legal oversight. Prospective franchisees should familiarize themselves with the Federal Arbitration Act to understand their rights and obligations in the arbitration process with Chicken Guy.