Are there any exceptions to the arbitration requirement for Desi District dispute resolution?

According to Desi District's 2024 Franchise Disclosure Document, dispute resolution is generally handled through arbitration. However, there is an exception for injunctive relief. This means that if Desi District or the franchisee seeks a court order to stop someone from doing something (injunctive relief), that specific legal action would not be subject to arbitration and could be pursued in court.

The FDD specifies that all disputes are resolved by arbitration, but this is subject to applicable state law, which may introduce further nuances or exceptions depending on the franchisee's location. It is important to note that this requirement applies to both the standard Franchise Agreement (FA) and, if applicable, the Multi-Unit Development Agreement (MUDA).

For any legal proceedings not subject to arbitration, the FDD dictates that the venue will be the District Court of the United States where Desi District's headquarters is located (currently Frisco, Texas). If that court lacks jurisdiction, the proceedings will occur in the state courts of the state and county where Desi District's headquarters is located, again subject to applicable state law. Prospective franchisees should consult with a legal professional to understand the full implications of these dispute resolution terms in their specific state.