In North Dakota, what is the requirement for the location of arbitration or mediation for Deer Solution disputes?
Deer_Solution Franchise · 2025 FDDAnswer from 2025 FDD Document
- D. Any provision in the Franchise Agreement requiring a franchisee to agree to the arbitration or mediation of disputes at a location that is remote from the site of the franchisee's business has been determined to be unfair, unjust, and inequitable within the intent of Section 51-19-09 of the North Dakota Franchise Investment Law. The site of arbitration or mediation must be agreeable to all parties and may not be remote from the franchisee's place of business.
- E. Any provision in the Franchise Agreement which designates jurisdiction or venue or requires the franchisee to agree to jurisdiction or venue in a forum outside of North Dakota is void with respect to any cause of action which is otherwise enforceable in North Dakota.
Source: Item 23 — RECEIPTS (FDD pages 55–246)
What This Means (2025 FDD)
According to Deer Solution's 2025 Franchise Disclosure Document, any provision in the franchise agreement that requires a franchisee to participate in arbitration or mediation at a location that is far from the franchisee's business site is considered unfair under North Dakota's Franchise Investment Law. The specific section of the law referenced is Section 51-19-09.
For a Deer Solution franchisee in North Dakota, this means that the location for resolving disputes through arbitration or mediation must be agreeable to all parties involved. It cannot be a location that is remote or inconvenient for the franchisee's business operations. This provision aims to protect the franchisee from being forced into a dispute resolution process that could put them at a disadvantage due to travel costs or logistical difficulties.
Furthermore, the FDD states that any part of the Franchise Agreement that designates jurisdiction or requires the franchisee to agree to jurisdiction in a forum outside of North Dakota is void if the cause of action is otherwise enforceable in North Dakota. This ensures that Deer Solution franchisees in North Dakota are not compelled to resolve disputes in a distant or unfavorable legal environment.