What is the dependency for litigation to be permitted for Ella Cafe disputes?
Ella_Cafe Franchise · 2024 FDDAnswer from 2024 FDD Document
Mediation must be conducted in person pursuant to Section 14.2.2., and no telephonic or electronic appearance by any of the parties or their counsel is permitted except for the purposes of scheduling mediation or discussion non-material mediation-related matters.
- 14.3. Litigation.
To the extent that litigation is permitted in accordance with the above provisions, or in the event that any claim or controversy is not finally resolved through mediation, then the following provisions will apply:
- 14.3.1.
JURISDICTION AND VENUE.
FOR ANY CLAIMS, CONTROVERSIES, AND/OR DISPUTES WHICH ARE NOT FINALLY RESOLVED THROUGH MEDIATION AS PROVIDED ABOVE, DEVELOPER, OWNERS, AND PRINCIPALS IRREVOCABLY SUBMIT THEMSELVES TO THE JURISDICTION OF THE STATE AND THE FEDERAL DISTRICT COURTS LOCATED IN THE STATE, COUNTY, OR JUDICIAL DISTRICT IN WHICH FRANCHISOR'S PRINCIPAL PLACE OF BUSINESS IS LOCATED.
DEVELOPER, OWNERS, AND PRINCIPALS HEREBY WAIVE ALL QUESTIONS OF PERSONAL JURISDICTION FOR THE PURPOSE OF CARRYING OUT THIS PROVISION AND AGREE THAT SERVICE OF PROCESS MAY BE MADE UPON ANY OF THEM IN ANY PROCEEDING RELATING TO OR ARISING OUT OF THIS AGREEMENT OR THE RELATIONSHIP CREATED HEREBY BY ANY MEANS ALLOWED BY FLORIDA OR FEDERAL LAW.
DEVELOPER, OWNERS, AND PRINCIPALS FURTHER AGREE THAT VENUE FOR ANY SUCH PROCEEDING WILL BE THE COUNTY OR JUDICIAL DISTRICT IN WHICH FRANCHISOR'S
Source: Item 23 — RECEIPTS (FDD pages 50–181)
What This Means (2024 FDD)
According to Ella Cafe's 2024 Franchise Disclosure Document, litigation is permitted only if mediation does not resolve the claim or controversy. The FDD specifies that mediation must occur in person, and telephonic or electronic appearances are not allowed, except for scheduling or discussing non-material, mediation-related matters.
If litigation is permitted, the Developer, Owners, and Principals irrevocably submit to the jurisdiction of the state and federal district courts where Ella Cafe's principal place of business is located. They also waive questions of personal jurisdiction and agree that service of process can be made by any means allowed by Florida or Federal law. The venue for any such proceeding will be the county or judicial district in which Ella Cafe’s principal place of business is located.
However, Ella Cafe retains the right to bring actions for monies owed, injunctive or other extraordinary relief, or involving possession or disposition of real property, the Marks, or Confidential Information in any state or federal district court with jurisdiction. This means that while franchisees generally must litigate in the location of Ella Cafe's principal business, Ella Cafe has more flexibility in choosing the venue for certain types of disputes.