For a Fitstop franchise purchased in Washington, where can arbitration take place?
Fitstop Franchise · 2024 FDDAnswer from 2024 FDD Document
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- In any arbitration involving a franchise purchased in Washington, the arbitration site shall be either in the state of Washington, or in a place mutually agreed upon at the time of the arbitration, or as determined by the arbitrator. In the event of a conflict of state laws, the provisions of the Washington Franchise Investment Protection Act, Chapter 19.100 RCW shall prevail.
Source: Item 23 — RECEIPTS (FDD pages 50–135)
What This Means (2024 FDD)
According to Fitstop's 2024 Franchise Disclosure Document, for any arbitration involving a franchise purchased in Washington, the arbitration site must be either in Washington state, a location mutually agreed upon at the time of arbitration, or as determined by the arbitrator. This stipulation is specific to franchises purchased in Washington.
This means that if a dispute arises between a Fitstop franchisee in Washington and the company that requires arbitration, the proceedings will occur within Washington unless both parties agree to an alternative location during the arbitration process. If no agreement is reached, the arbitrator will decide the location. This provides a level of protection and convenience for Washington franchisees, as they are less likely to incur significant travel costs to resolve disputes.
It is important to note that the Washington Franchise Investment Protection Act takes precedence in case of conflicting state laws. This ensures that Fitstop franchisees in Washington receive the full protection of their local laws, regardless of what the franchise agreement might otherwise stipulate. This clause aims to protect the franchisee's rights under Washington law during any arbitration proceedings.