factual

Does the Epcon Communities franchise agreement include dispute resolution by arbitration or mediation?

Epcon_Communities Franchise · 2025 FDD

Answer from 2025 FDD Document

Provision Section of Sublicense Agree ment Summary
u. Dispute resolution by Not Applicable Not Applicable.
arbitration or mediation
v. Choice of forum Section 10.G Subject to applicable state law, litigation must be filed in Federal District Court for the Southern District of Ohio in Columbus, Ohio or in Common Pleas Court of Franklin County, Ohio.
w. Choice of law Section 10.G Subject to applicable state law, Ohio law applies.

Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION THE FRANCHISE RELATIONSHIP (FDD pages 55–69)

What This Means (2025 FDD)

According to Epcon Communities' 2025 Franchise Disclosure Document, the Sublicense Agreement does not include dispute resolution by arbitration or mediation. Instead, the FDD indicates that litigation must be filed in the Federal District Court for the Southern District of Ohio in Columbus, Ohio, or in the Common Pleas Court of Franklin County, Ohio, subject to applicable state law. Ohio law applies, also subject to applicable state law. This information is specific to the Sublicense Agreement, which is used as a legal mechanism to evidence the contractual relationship between your initial business entity, your new business entity, and ECFL when real estate developers form a separate business entity for each of their projects.

This means that if a franchisee has a dispute with Epcon Communities, they will likely need to pursue resolution through the court system in Ohio, rather than through a potentially less formal and less costly method like arbitration or mediation. The choice of forum and choice of law provisions dictate where and under what legal framework disputes will be resolved, which can have significant implications for legal costs, travel, and the specific laws that will govern the dispute.

It is important for a prospective Epcon Communities franchisee to understand these dispute resolution terms, as they outline the process and location for resolving any potential conflicts with the franchisor. Franchisees should be aware of the potential costs and logistical challenges associated with litigating in Ohio, as well as the implications of Ohio law governing the agreement. Consulting with a legal professional is advisable to fully understand the ramifications of these provisions.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.