According to what rules will arbitration be conducted for Crepe De Licious?
Crepe_De_Licious Franchise · 2025 FDDAnswer from 2025 FDD Document
b. This Agreement will be governed by, construed, and enforced under the laws of Delaware, and the courts in that state shall have jurisdiction over any legal proceedings arising out of this Agreement.
Source: Item 22 — CONTRACTS (FDD page 57)
What This Means (2025 FDD)
Based on the 2025 Franchise Disclosure Document, the excerpts provided do not include information regarding the specific rules or procedures that would govern arbitration for Crepe De Licious. The document does specify that the laws of Delaware govern the Franchise Agreement. It also states that the courts in Delaware have jurisdiction over legal proceedings arising from the agreement.
However, the absence of details about arbitration rules means prospective franchisees need to seek clarification on this crucial aspect. Understanding the arbitration process, including the selection of arbitrators, the scope of discovery, and the rules of evidence, is essential for assessing potential dispute resolution costs and risks.
To gain a comprehensive understanding, a prospective Crepe De Licious franchisee should ask the franchisor for the specific arbitration clause within the franchise agreement and request details about the arbitration process. This includes inquiring about the arbitration provider (e.g., American Arbitration Association), the applicable rules (e.g., AAA rules), and any limitations on the franchisee's ability to pursue claims against the franchisor.