Which article of the Fly To Fit Franchise Agreement applies to dispute resolution for the Guaranty?

According to Fly To Fit's 2024 Franchise Disclosure Document, Article 17 of the Franchise Agreement, which pertains to dispute resolution, is incorporated into the Guaranty agreement. This means that any disputes arising under the Guaranty will be subject to the same dispute resolution process outlined in Article 17 of the Franchise Agreement.

Article 17.1(a) specifies that any controversy or claim between the parties, including those arising from the Franchise Agreement or its formation, will be resolved through arbitration administered by the American Arbitration Association, following its Commercial Arbitration Rules. There are exceptions for injunctive relief and intellectual property claims, which may be pursued in court. Article 17.5 states that for legal proceedings not required to be submitted to arbitration, the parties agree that any such legal proceeding will be brought in the United States District Court where Fly To Fit Franchise's headquarters is then located.

For a prospective Fly To Fit franchisee, this means that if a dispute arises with the guarantor related to the franchise agreement, the dispute will be subject to the arbitration process detailed in Article 17. This includes the location of arbitration, potential for injunctive relief, and confidentiality requirements. Understanding these dispute resolution procedures is crucial for managing potential conflicts and legal obligations related to the guaranty.