Can the arbitrator consider settlement discussions or offers in a Cinnaholic arbitration proceeding?

According to the 2025 Cinnaholic Franchise Disclosure Document, the arbitrator is not allowed to consider any settlement discussions or offers made by either party during the arbitration proceeding. This means that any attempts to resolve the dispute through negotiation before or during the arbitration will not be taken into account by the arbitrator when making a decision.

This provision ensures that the arbitrator's decision is based solely on the merits of the case presented during the arbitration hearing, without being influenced by prior settlement negotiations. It encourages both Cinnaholic and the franchisee to present their strongest arguments and evidence during the arbitration process.

For a prospective franchisee, this means that it is important to carefully consider any settlement offers made by Cinnaholic, but to also be prepared to present a strong case in arbitration if a settlement cannot be reached. The franchisee should understand that the arbitrator will not be aware of any previous settlement discussions, so it is crucial to present all relevant information and arguments during the arbitration hearing. This clause promotes a focus on the formal arbitration process rather than relying on pre-hearing negotiations to sway the arbitrator's decision.