For Focus Cfo franchisees, where will mediation or arbitration be held?
Focus_Cfo Franchise · 2025 FDDAnswer from 2025 FDD Document
es a transaction involving commerce and, therefore, the Federal Arbitration Act, Title 9 of the United States Code is applicable to the subject matter contained herein. Except for controversies or claims relating to the ownership of any and all intellectual property rights, including, but not limited to, Focus CFO's Marks, copyrights or the unauthorized use or disclosure of Focus CFO's
Confidential Information, covenants against competition and other claims for injunctive relief, or amounts owed by Franchisee to Focus CFO, all disputes arising out of or relating to this Agreement or to any other agreements between the parties, or with regard to interpretation, formation or breach of this or any other agreement between the parties, shall be settled by binding arbitration conducted in Franklin County, Ohio, in accordance with the Commercial Arbitration Rules of the American Arbitration Association then in effect.
Source: Item 23 — Receipts (FDD pages 37–126)
What This Means (2025 FDD)
According to the 2025 Focus Cfo Franchise Disclosure Document, disputes arising out of or relating to the Franchise Agreement will be settled by binding arbitration conducted in Franklin County, Ohio. This applies to disputes regarding the agreement itself, other agreements between the parties, or issues of interpretation, formation, or breach. The arbitration will follow the Commercial Arbitration Rules of the American Arbitration Association.
However, there are exceptions to this arbitration clause. Disputes concerning the ownership of Focus CFO's intellectual property rights (including trademarks and copyrights), unauthorized use or disclosure of confidential information, covenants against competition, claims for injunctive relief, or amounts owed by the franchisee to Focus CFO are not subject to mandatory arbitration. These types of claims can be pursued through other legal avenues.
Notably, an addendum to the Franchise Agreement modifies the arbitration location for franchisees residing in North Dakota. In such cases, the arbitration location will be at a site mutually agreed upon by Focus CFO and the franchisee. This suggests that while the standard agreement specifies Franklin County, Ohio, there is room for negotiation or adjustment of the arbitration venue, particularly for franchisees in North Dakota.