Where will arbitration proceedings be conducted for Deer Solution disputes?
Deer_Solution Franchise · 2025 FDDAnswer from 2025 FDD Document
(a) Arbitration – Except, at our option, as to any claims or disputes related to or concerning a breach of this Agreement by you that may entitle us to the award of injunctive relief, you agree that any and all disputes, controversies, and claims, arising from and/or related to this Agreement, shall be submitted to the American Arbitration Association ("AAA") for binding arbitration. Arbitration shall be conducted by one arbitrator in accordance with the AAA's then current rules for commercial disputes, except as may be otherwise required in this Agreement. All arbitration proceedings shall be conducted in Morris County, New Jersey or, if suitable AAA facilities are not available in Morris County, New Jersey then at a suitable AAA location selected by the arbitrator that is located closest to Morris County, New Jersey.
In connection with binding arbitration, you agree that:
- (i) All matters relating to arbitration, will be governed by the United States Federal Arbitration Act, except as expressly or otherwise set forth in this Agreement;
- (ii) The arbitration hearing shall be conducted within 180 days of the demand for arbitration;
- (iii) The arbitrator shall render written findings of fact and conclusions of law;
Source: Item 23 — RECEIPTS (FDD pages 55–246)
What This Means (2025 FDD)
According to Deer Solution's 2025 Franchise Disclosure Document, arbitration proceedings will generally be conducted in Morris County, New Jersey. Specifically, the proceedings will take place at the American Arbitration Association (AAA) facilities located there. If suitable AAA facilities are unavailable in Morris County, the arbitration will occur at the closest suitable AAA location selected by the arbitrator.
However, the FDD includes several state-specific amendments that may override this general rule. For franchisees in Washington, the arbitration or mediation site will be either in the state of Washington, or in a place mutually agreed upon at the time of the arbitration or mediation, or as determined by the arbitrator or mediator at the time of arbitration or mediation. For franchisees in North Dakota, the site of arbitration or mediation must be agreeable to all parties and may not be remote from the franchisee's place of business. Illinois law states that while a Franchise Agreement may provide for arbitration to take place outside of Illinois, any provision in a Franchise Agreement that designates jurisdiction and venue in a forum outside of the State of Illinois is void.
These stipulations mean that while Deer Solution's standard franchise agreement specifies arbitration in New Jersey, state laws can significantly alter where arbitration actually occurs. Prospective franchisees should carefully review the amendment for their specific state to understand their rights and obligations regarding dispute resolution. It is important to note that these amendments aim to protect franchisees from unfair or overly burdensome arbitration requirements, ensuring a more equitable process.