Does the Deer Solution agreement require mediation before arbitration for disputes related to the franchise relationship?

Based on the 2025 Deer Solution Franchise Disclosure Document, the franchise agreement includes provisions for dispute resolution through arbitration. Specifically, Article 18.G. of the Franchise Agreement, which addresses "Choice of Law, Non-Binding Mediation, Binding Arbitration, and Consent to Jurisdiction," outlines these procedures.

However, certain state-specific amendments modify these general provisions. For instance, the Maryland Franchise Agreement Amendment acknowledges potential disputes regarding the enforceability of forum selection requirements in light of the Federal Arbitration Act. Similarly, the North Dakota FDD Amendment stipulates that the site of arbitration or mediation must be agreeable to all parties and not remote from the franchisee's place of business. The Washington State Franchise Agreement Amendment specifies that for franchises purchased in Washington, the arbitration or mediation site will be in Washington or a mutually agreed-upon location.

These amendments suggest that while Deer Solution generally prefers arbitration, the specific requirements and enforceability can vary significantly depending on the franchisee's location and relevant state laws. Prospective franchisees should carefully review the specific amendments applicable to their state and consult with legal counsel to understand their rights and obligations regarding dispute resolution.