If mediation is waived in a Crave Cookies dispute, what action can either party take?
Crave_Cookies Franchise · 2025 FDDAnswer from 2025 FDD Document
If the mediation has not resolved the matter successfully, or mediation is waived, either Franchisee or Crave Cookies Franchising may institute a legal suit, action, or proceeding, exclusively in the city and state of Crave Cookies Franchising's then-current headquarters, against the other party to enforce this Agreement or obtain any other remedy regarding any breach of this Agreement.
The prevailing party in the suit, action, or proceeding is entitled to receive, and the non-prevailing party shall pay, in addition to all other remedies to which the prevailing party may be entitled, the costs and expenses incurred by the prevailing party in conducting the suit, action, or proceeding, including attorneys' fees and expenses and court costs, even if not recoverable by law, including, but not limited to, all fees, taxes, costs, and expenses incident to appellate and post-judgment proceedings.
Source: Item 22 — CONTRACTS (FDD page 47)
What This Means (2025 FDD)
According to Crave Cookies' 2025 Franchise Disclosure Document, if mediation is waived, either the franchisee or Crave Cookies Franchising can start a legal suit, action, or proceeding against the other party. This legal action must take place exclusively in the city and state where Crave Cookies Franchising's headquarters is currently located. The purpose of the suit can be to enforce the Franchise Agreement or to seek any other remedy for a breach of the agreement.
The prevailing party in the lawsuit is entitled to receive payment for the costs and expenses they incurred during the suit. This includes attorney's fees, court costs, and any other related expenses, regardless of whether they are typically recoverable by law. This obligation extends to fees, taxes, costs, and expenses associated with appeals and post-judgment proceedings.
This clause ensures that disputes can be resolved through legal means if mediation is not pursued. It also specifies the venue for such legal proceedings and allocates the financial responsibility for legal costs to the non-prevailing party, which could significantly impact the financial burden on a franchisee depending on the outcome of the suit. Franchisees should be aware of the potential costs associated with litigation and the importance of understanding their rights and obligations under the Franchise Agreement.