Where will the arbitrator hear disputes related to the Cinch I.T. franchise agreement?
Cinch_I_T Franchise · 2024 FDDAnswer from 2024 FDD Document
[Item 23: RECEIPTS]
In accordance with the terms of the Federal Arbitration Act, the Arbitrator shall hear the dispute in the American Arbitration Association offices in Worcester, Massachusetts or their closest office thereto.
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- (c) Arbitration shall be conducted in the city and state where We maintain Our principal place of business (or, if there is no AAA office in that city, at the location of the AAA office nearest to Our principal place of business, which is currently Worcester, Massachusetts).
Source: Item 23 — RECEIPTS (FDD pages 60–269)
What This Means (2024 FDD)
According to Cinch I.T.'s 2024 Franchise Disclosure Document, arbitration proceedings will take place in the American Arbitration Association (AAA) offices located in Worcester, Massachusetts. If there isn't an AAA office in Worcester, the arbitration will occur at the AAA office closest to Cinch I.T.'s principal place of business.
This means that a Cinch I.T. franchisee, regardless of their location, may be required to travel to Worcester, Massachusetts, or the nearest AAA office, to resolve disputes through arbitration. This could involve significant travel expenses and logistical challenges for franchisees located far from Massachusetts.
The arbitrator selected must have practiced law for at least ten years and possess experience in franchise law. The arbitrator's decision is final and binding. The non-prevailing party is responsible for covering the costs and expenses of the arbitration, including the arbitrator's compensation. Cinch I.T. may seek preliminary injunctive relief to protect its marks or other rights, but the final determination of any dispute will be decided by arbitration.