Where will arbitration be held for disputes related to the Dq Treat Participation Agreement?
Dq_Treat Franchise · 2025 FDDAnswer from 2025 FDD Document
- Governing Law; Arbitration. The laws of the State of Delaware, excluding its rules on conflicts of laws, will govern this Participation Agreement. Subject to Section 12, all disputes will be submitted to the American Arbitration Association (the "AAA") for resolution before a panel consisting of three arbitrators, one of which will be selected by Participating Franchisee or Sub-Franchisee, one by GIFT and the third selected by mutual agreement of the first two. Arbitration will be conducted in accordance with the Commercial Arbitration Rules of the AAA then in effect. The decision of the arbitrators will be binding upon the parties; except that disputes arising out of Section 9 will not be subject to arbitration, and may be brought to a court for judicial resolution. Judgment upon any arbitration award or decision may be entered in any court having jurisdiction. Arbitration will be held in Denver, Colorado. Each party will pay its own arbitration expenses and one-half of the fee of the arbitrators and the administrative fee of the AAA. The Colorado Rules of Evidence will apply to such arbitration. The arbitrators will be required to render a decision based on the terms of this Participation Agreement and applicable law.
Source: Item 17 — The following paragraph is added to the end of Item 17 of the Disclosure Document: (FDD pages 70–378)
What This Means (2025 FDD)
According to the 2025 Dq Treat FDD, arbitration for disputes related to the Participation Agreement will be held in Denver, Colorado. The laws of Delaware, excluding its rules on conflicts of laws, will govern the Participation Agreement.
Any disputes will be submitted to the American Arbitration Association (AAA) for resolution before a panel of three arbitrators. The Participating Franchisee or Sub-Franchisee will select one arbitrator, GIFT (First Data Resources, LLC) will select another, and the two selected arbitrators will mutually agree on the third. The arbitration will follow the Commercial Arbitration Rules of the AAA then in effect.
The decision made by the arbitrators will be binding on the parties involved. However, disputes arising from Section 9 of the agreement will not be subject to arbitration and may be brought to a court for judicial resolution. Each party is responsible for their own arbitration expenses and half of the arbitrators' fees and the AAA's administrative fee. The Colorado Rules of Evidence will apply during the arbitration, and the arbitrators must base their decision on the terms of the Participation Agreement and applicable law.