Are there exceptions to the mediation requirement for Crave Cookies disputes?
Crave_Cookies Franchise · 2025 FDDAnswer from 2025 FDD Document
- (b) Exceptions to Mediation.
Franchisee agrees that nothing in this Agreement requires Crave Cookies Franchising to mediate disputes related to any of the following: (1) the validity of Marks, trademarks, service marks, or other Intellectual Property; (2) rights to obtain a writ of attachment or other prejudgment remedies; or (3) Disputes solely for royalty fees or marketing fund contribution fees owed by one party to the other under this Agreement.
Source: Item 22 — CONTRACTS (FDD page 47)
What This Means (2025 FDD)
According to Crave Cookies' 2025 Franchise Disclosure Document, there are specific exceptions to the mediation requirement for dispute resolution. Franchisees are not required to mediate disputes related to the validity of Crave Cookies' trademarks, service marks, or other intellectual property. Additionally, Crave Cookies does not have to mediate disputes regarding rights to obtain a writ of attachment or other prejudgment remedies. Finally, disputes solely involving royalty fees or marketing fund contribution fees owed by one party to the other under the Franchise Agreement are also exempt from the mediation requirement.
These exceptions mean that Crave Cookies can pursue legal action directly in these specific cases without first attempting mediation. This could expedite the resolution process for issues critical to the brand's intellectual property or financial interests. For a franchisee, this could mean facing a lawsuit more quickly in these types of disputes, potentially increasing legal costs and the urgency of the matter.
It is important for prospective Crave Cookies franchisees to understand these exceptions, as they outline situations where the franchisor may bypass mediation and proceed directly to litigation. Franchisees should consider the potential implications of these exceptions and how they might affect their relationship with Crave Cookies, especially concerning intellectual property, financial obligations, and prejudgment remedies.