What happens if the parties cannot agree on a mediator for a Dermani Medspa dispute?
Dermani_Medspa Franchise · 2025 FDDAnswer from 2025 FDD Document
In the event the parties cannot agree on a mediator within thirty (30) days of one party's written request to the other party to mediate a dispute, such party (the complainant, defined below) shall submit the dispute to, and any such mediation shall be conducted by JAMS in accordance with its then-current rules for mediation of commercial disputes.
Both parties must sign a confidentiality agreement before participating in any mediation proceeding.
The mediation will take place in the city where our principal offices are located at the time the demand for mediation is filed.
The mediation shall be non-binding.
Notwithstanding anything to the contrary, this Section 12.5 shall not bar either party from obtaining judicial or injunctive relief for claims that are based solely on demands for money owed, or from obtaining injunctive relief against threatened conduct that will cause it loss or damages, under the
usual equity rules, including the applicable rules for obtaining restraining orders and preliminary injunctions, without having to engage in mediation; this exception includes, without limitation, claims involving the Marks.
Source: Item 23 — RECEIPTS (FDD pages 66–311)
What This Means (2025 FDD)
According to Dermani Medspa's 2025 Franchise Disclosure Document, if Dermani Medspa and a franchisee cannot agree on a mediator within 30 days of a written request to mediate a dispute, the party initiating the mediation (the complainant) must submit the dispute to JAMS (Judicial Arbitration and Mediation Services). The mediation will then be conducted by JAMS according to its rules for commercial disputes at that time.
This means that a Dermani Medspa franchisee does not have complete control over the selection of the mediator if an initial agreement cannot be reached. Instead, the franchisee is bound to use JAMS, a specific mediation service, and follow its established procedures. This ensures that a neutral third party is involved in resolving disputes, even if the parties cannot initially agree on who that third party should be.
It is important to note that this mediation is non-binding, meaning that the parties are not obligated to accept the outcome of the mediation. Additionally, this requirement for mediation does not prevent either party from seeking judicial or injunctive relief for claims based on money owed or for injunctive relief against threatened conduct that could cause loss or damages. This includes claims involving Dermani Medspa's trademarks.