obligation

Must the demand for arbitration against Crepe De Licious be served within the statute of limitations?

Crepe_De_Licious Franchise · 2025 FDD

Answer from 2025 FDD Document

The demand for arbitration must be served on the other party within the period provided by the applicable statute of limitations, and must contain a statement setting forth the nature of the dispute, the amount involved, if any, and the remedies sought.

A demand for arbitration will not operate to stay, postpone or rescind the effectiveness of any termination of this Agreement.

Arbitration will not proceed until any protest of arbitrability is resolved by the arbitrator or by an appropriate court, if necessary.

Source: Item 22 — CONTRACTS (FDD page 57)

What This Means (2025 FDD)

According to the 2025 Crepe De Licious Franchise Disclosure Document, any demand for arbitration must be served on the other party within the applicable statute of limitations. This means that if a franchisee has a dispute with Crepe De Licious that they wish to resolve through arbitration, they must initiate the arbitration process within the time frame allowed by law for bringing that type of claim. Failure to do so could result in the claim being time-barred and the franchisee losing their right to pursue arbitration.

This requirement is fairly standard in franchise agreements, as it ensures that disputes are addressed in a timely manner and prevents parties from bringing stale claims. The statute of limitations varies depending on the nature of the dispute and the applicable state law. For example, a claim for breach of contract may have a different statute of limitations than a claim for fraud or misrepresentation.

To initiate arbitration, the franchisee must provide written notice to Crepe De Licious, including the nature of the dispute, the amount involved (if any), and the remedies sought. It is important for prospective franchisees to understand the statute of limitations for various types of claims that may arise under the franchise agreement and to consult with an attorney if they believe they have a claim against Crepe De Licious.

It is also important to note that a demand for arbitration does not automatically stop or delay the termination of the franchise agreement. Arbitration will not proceed until any challenges to whether the issue can be arbitrated are resolved by the arbitrator or a court, if necessary. This means that Crepe De Licious can still terminate the franchise agreement while the arbitration process is ongoing, unless a court orders otherwise.

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.