What rule protects settlement discussions between Crisp & Green parties during dispute resolution?
Crisp_Green Franchise · 2024 FDDAnswer from 2024 FDD Document
- (c) Settlement discussions occurring between the parties in relation to any dispute falling within the scope of this Section 18.05 shall be protected by Federal Rule of Evidence 408 and all other applicable rules limiting and/or precluding disclosure.
The parties further agree that unless otherwise agreed in writing, neither side shall be permitted to disclose any settlement discussions to the arbitrators for any reason and that the arbitrators may not consider any settlement discussions or offers that might have been made by either you or us prior to commencing the arbitration proceeding.
Source: Item 23 — RECEIPTS (FDD pages 66–252)
What This Means (2024 FDD)
According to the 2024 Crisp & Green Franchise Disclosure Document, Federal Rule of Evidence 408 protects settlement discussions between parties during dispute resolution. Additionally, all other applicable rules that limit or preclude disclosure also apply.
This means that any discussions or offers made during settlement negotiations are generally confidential and cannot be used as evidence in later proceedings. This encourages open and honest communication during settlement talks, as parties can speak freely without fear of their words being used against them in court or arbitration.
Furthermore, the agreement specifies that neither party is allowed to disclose settlement discussions to arbitrators, and the arbitrators themselves cannot consider any settlement discussions or offers made before the arbitration proceeding began. This provision aims to ensure that the arbitration process is based solely on the merits of the case, rather than being influenced by prior settlement attempts.