Where does arbitration take place for disputes with Counselor Realty?
Counselor_Realty Franchise · 2025 FDDAnswer from 2025 FDD Document
10. RESOLUTION OF DISPUTES.
- 10.1 Arbitration. Except as provided below, any dispute arising under or in relation to this Agreement shall be resolved by binding arbitration by the National Center for Dispute Settlement, under its rules for expedited commercial arbitration, in Minneapolis, Minnesota. Each claim or controversy will be arbitrated by Franchisee on an individual basis, and will not be consolidated in any arbitration action with the claim of any other franchisee. The award of the arbitrators is final and binding on all parties. The arbitrators may issue appropriate orders as well as award monetary (but not exemplary or punitive) damages. The prevailing party will be entitled to recover its costs including its reasonable attorneys' fees. We may sue to collect money owed to us, to protect or enforce our rights in the Marks, or to compel inspections or audits.
- 10.2 Injunctive Relief. Your breach of this Agreement could cause irreparable damage to Counselor or to other franchisees. Therefore, upon a breach or threatened breach of any of the terms of this Agreement, we are entitled to an immediate injunction restraining such breach and/or a decree of specific performance, pending arbitration or adjudication, without bond, or having to show or prove any actual damage, and without regard to the availability of an adequate remedy at law.
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 25–29)
What This Means (2025 FDD)
According to Counselor Realty's 2025 Franchise Disclosure Document, any disputes arising from the Franchise Agreement will be resolved through binding arbitration. This arbitration will be managed by the National Center for Dispute Settlement, following its expedited commercial arbitration rules.
The location for the arbitration proceedings is specified as Minneapolis, Minnesota. This means that any Counselor Realty franchisee, regardless of their franchise location, would need to engage in arbitration in Minneapolis should a dispute arise.
There are a few exceptions to this arbitration clause. Counselor Realty retains the right to pursue legal action to collect money owed, protect their trademark rights, or compel inspections and audits. Additionally, Counselor Realty can seek injunctive relief in cases of a breach or threatened breach of the Franchise Agreement, potentially avoiding arbitration in such situations.