What relief can the arbitrator award in a dispute involving Golden Krust Caribbean Restaurant?
Golden_Krust_Caribbean_Restaurant Franchise · 2024 FDDAnswer from 2024 FDD Document
The arbitrator will have the right to award or include in his award any relief which he deems proper in the circumstances, including, without limitation, money damages (with interest on unpaid amounts from the date due), specific performance, injunctive relief and attorneys' fees and costs, provided that the arbitrator will not have the right to declare any mark generic or otherwise invalid or, except as otherwise provided in Paragraph I of this Section, to award exemplary or punitive damages. The award and decision of the arbitrator will be conclusive and binding upon all parties hereto, and judgment upon the award may be entered in any court of competent jurisdiction.
Source: Item 22 — CONTRACTS (FDD page 35)
What This Means (2024 FDD)
According to the 2024 Franchise Disclosure Document, in disputes subject to arbitration (excluding those related to trademark use after agreement expiration or termination), the arbitrator has broad authority to grant relief. This includes monetary damages, with interest on unpaid amounts from the date they were due.
Additionally, the arbitrator can order specific performance, compelling a party to fulfill their contractual obligations, and issue injunctive relief, which can prevent a party from taking certain actions. The arbitrator is also empowered to award attorneys' fees and costs to the prevailing party.
However, the arbitrator's authority is limited in that they cannot declare any mark generic or otherwise invalid. Furthermore, the arbitrator generally cannot award exemplary or punitive damages, unless otherwise provided in Paragraph I of the relevant section. The arbitrator's decision is conclusive and binding, and can be enforced in any court with appropriate jurisdiction.