factual

Where will binding arbitration take place for disputes related to the Crave franchise agreement?

Crave Franchise · 2025 FDD

Answer from 2025 FDD Document

19.1 Except to the extent we elect to enforce the provisions of this Agreement by judicial process and injunction in our sole discretion, all disputes, claims and controversies between the parties arising under or in connection with this Agreement or the making, performance or interpretation thereof (including claims of fraud in the inducement and other claims of fraud and the arbitrability of any matter) which have not been settled through negotiation will be settled by binding arbitration within Wilmington, Delaware, under the authority of the statutes of Delaware (the "Statutes"). The arbitrator(s) will have a minimum of five (5) years of experience in franchising or distribution law and will have the right to award specific performance of this Agreement. If the parties cannot agree upon a mutually agreeable arbitrator, then the arbitration shall be conducted as per the selection method set forth in the Statutes. The proceedings will be conducted under the commercial arbitration rules of the American Arbitration Association, to the extent such rules are not inconsistent with the provisions of this arbitration provision or the Statutes. The decision of the arbitrator(s) will be final and binding on all parties. This Section will survive termination or non-renewal of this Agreement under any circumstances. Judgment upon the award of the arbitrator(s) may be entered in any court having jurisdiction thereof. During the pendency of any arbitration proceeding, you and we shall fully perform our respective obligations under this Agreement.

Source: Item 23 — RECEIPTS (FDD pages 63–253)

What This Means (2025 FDD)

According to Crave's 2025 Franchise Disclosure Document, except when Crave chooses to enforce the agreement through judicial process and injunction, all disputes will be settled by binding arbitration within Wilmington, Delaware. This arbitration will occur under the authority of Delaware statutes.

The arbitrator(s) selected must possess a minimum of five years of experience in either franchising or distribution law. They also have the authority to enforce specific performance of the agreement. If both parties cannot agree on an arbitrator, the selection method will follow the guidelines set forth in the Delaware statutes.

The arbitration proceedings will be conducted according to the commercial arbitration rules established by the American Arbitration Association, unless those rules conflict with the arbitration provision or Delaware statutes. The arbitrator(s)' decision is considered final and binding for all parties involved, and this clause remains in effect even if the agreement is terminated or not renewed. The arbitrator's award can be enforced in any court with the appropriate jurisdiction. Both Crave and the franchisee are required to continue fulfilling their obligations under the agreement while any arbitration is ongoing.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.