What is the deadline for initiating an appeal of an arbitration award related to a Dq Treat franchise?
Dq_Treat Franchise · 2025 FDDAnswer from 2025 FDD Document
Appeals must be initiated within thirty days of receipt of an award, as defined by Rule A-3 of the existing Appellate Rules, by filing a notice of appeal with any AAA office.
The appeal tribunal may affirm, reverse, or modify the award of the arbitrator(s), or return the matter to the arbitrator(s) for further action.
A final award may be entered once the appeal process is complete or the time for filing an appeal has expired, and a judgment may be entered upon the arbitration award in accordance with the procedures identified in section 12.1(F).
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 FDD, a Dq Treat franchisee has a limited time frame to appeal an arbitration award. Specifically, the franchisee must initiate the appeal within thirty days of receiving the award. This is determined by filing a notice of appeal with any office of the American Arbitration Association (AAA). The appeal process is governed by the AAA's Optional Appellate Arbitration Rules that are in effect as of the agreement's effective date.
This thirty-day deadline is significant because it dictates how long a Dq Treat franchisee has to challenge an unfavorable arbitration decision. Missing this deadline means the original arbitration award becomes final and binding. The FDD specifies that the award is not considered final until the appeal period has expired, underscoring the importance of adhering to the deadline if a franchisee wishes to pursue an appeal.
The appeal tribunal has the authority to affirm, reverse, or modify the arbitrator's award, or send the matter back to the arbitrator for further action. Once the appeal process is complete, or the time for filing an appeal has passed, a final award can be entered. This final award can then be used to obtain a judgment in a state or federal court in Minnesota or the state where the Dq Treat location is authorized.
It is important for prospective Dq Treat franchisees to understand these dispute resolution procedures, including the strict deadlines for initiating appeals, as they can have significant legal and financial consequences. Franchisees should consult with legal counsel to fully understand their rights and obligations in the event of a dispute.