Where will arbitration proceedings involving Degree Wellness be conducted?

According to Degree Wellness's 2025 Franchise Disclosure Document, arbitration proceedings will be conducted in Duvall County, Florida. These proceedings will generally follow the American Arbitration Association's commercial arbitration rules, unless the franchise agreement specifies otherwise. A single arbitrator, rather than a panel, will preside over the hearing.

This location is significant for prospective franchisees as it dictates where they may need to travel and incur expenses should a dispute with Degree Wellness require arbitration. Duvall County, Florida, may be distant and costly to reach depending on the franchisee's location. Franchisees should factor these potential costs into their financial planning.

Furthermore, the FDD stipulates that a party initiating a claim in arbitration must pay all costs and fees charged by the American Arbitration Association, along with half of the arbitrator's fees. Failure to pay these costs can result in the dismissal of the claim. This financial responsibility underscores the importance of carefully evaluating the merits of any potential claim against Degree Wellness before initiating arbitration, as the franchisee will bear the upfront costs.

It is also important to note that the arbitrator has broad authority to award relief, including monetary damages, specific performance, injunctive relief, attorneys' fees, and costs. The arbitrator's decision is binding, and the parties waive their right to contest the award's validity or enforceability. Discovery during arbitration is limited to three depositions, six interrogatories, and three document requests per side, although the arbitrator can further limit discovery to ensure fairness.