For a Devon Creek franchise, what body handles arbitration if mediation fails?
Devon_Creek Franchise · 2024 FDDAnswer from 2024 FDD Document
All hearings and other proceedings will take place in North Carolina, or the offices of the American Arbitration Association, or, if Franchisor so elects, in the county where the principal place of business of Franchisee is then located.
Source: Item 22 — CONTRACTS (FDD page 45)
What This Means (2024 FDD)
According to Devon Creek's 2024 Franchise Disclosure Document, if mediation fails, arbitration may occur at the offices of the American Arbitration Association. The FDD specifies that all hearings and other proceedings will take place in North Carolina, or at the American Arbitration Association's offices, unless Devon Creek elects to hold them in the county where the franchisee's principal place of business is located.
This means that a franchisee could potentially be required to travel to North Carolina for arbitration proceedings, or to the location Devon Creek specifies. However, Devon Creek has the option to hold the proceedings closer to the franchisee's base of operations.
It is also important to note that the arbitration provision is self-executing and remains in effect even after the franchise agreement expires or is terminated. Any arbitration will be conducted on an individual basis, not as part of a class action or with multiple plaintiffs. The agreement also states that judgment upon an arbitration award may be entered in any court having jurisdiction and will be binding, final, and not subject to appeal.