Where will mediation take place for a Crawlspace Medic franchise dispute?
Crawlspace_Medic Franchise · 2024 FDDAnswer from 2024 FDD Document
- 20.2. Mediation. At Franchisor's or Franchisee's option, any claim, controversy or dispute that is not resolved pursuant to Section 20.1 hereof shall be submitted to non-binding mediation, except claims relating to the Lanham Act of 1946 or Federal law prior to any litigation. Franchisee shall provide Franchisor with written notice of Franchisee's intent to pursue any unresolved claim, controversy or dispute, specifying in sufficient detail the nature thereof, prior to commencing any legal action. Franchisor shall have thirty (30) days following receipt of Franchisee's notice to exercise Franchisor's option to submit such claim, controversy or dispute to mediation. Mediation shall be conducted through a mediator or mediators selected via the American Arbitration Association. Such mediation shall take place in the then-current location of Franchisor's corporate headquarters. The costs and expenses of mediation, including compensation and expenses of the mediator (and except for the attorneys' fees incurred by either party), shall be borne by the parties equally. Franchisor may specifically enforce Franchisor's rights to mediation, as set forth herein.
Source: Item 22 — CONTRACTS (FDD page 42)
What This Means (2024 FDD)
According to Crawlspace Medic's 2024 Franchise Disclosure Document, if mediation is required to resolve a dispute, it will take place at the location of Crawlspace Medic's corporate headquarters at the time of the mediation. The mediator or mediators will be selected via the American Arbitration Association. This applies to any claim, controversy, or dispute that is not resolved through internal dispute resolution, except for claims relating to the Lanham Act of 1946 or Federal law prior to any litigation.
Both Crawlspace Medic and the franchisee have the option to submit unresolved claims to non-binding mediation. The franchisee must provide written notice of their intent to pursue any unresolved claim, specifying the nature of the dispute, before starting any legal action. Crawlspace Medic then has 30 days to decide whether to submit the claim to mediation.
The costs and expenses of mediation, including the mediator's compensation and expenses, will be split equally between Crawlspace Medic and the franchisee. However, each party is responsible for their own attorneys' fees. Crawlspace Medic retains the right to specifically enforce its rights to mediation as outlined in the franchise agreement. This means Crawlspace Medic can compel the franchisee to participate in mediation if a dispute arises.