Are Hck Hot Chicken arbitration proceedings and related documents confidential?
Hck_Hot_Chicken Franchise · 2025 FDDAnswer from 2025 FDD Document
Except as required by Applicable Law, including the required disclosure in Franchisor's franchise disclosure document, the entire arbitration proceedings and related documents are confidential.
These matters will not be discoverable or admissible for any purposes, including impeachment, in any litigation or other proceeding involving the parties, and will not be disclosed to anyone who is not an agent, employee, expert witness, or representative for any of the parties; however, evidence otherwise discoverable or admissible is not excluded from discovery or admission as a result of its use in the arbitration.
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 54)
What This Means (2025 FDD)
According to the 2025 Hck Hot Chicken Franchise Disclosure Document, arbitration proceedings and related documents are generally considered confidential. Specifically, the FDD states that the entire arbitration proceedings and related documents are confidential, except as required by applicable law, including the required disclosure in Hck Hot Chicken's franchise disclosure document. This means that the details of any arbitration between Hck Hot Chicken and a franchisee are not typically made public.
This confidentiality extends to preventing the discovery or admission of these materials in other legal proceedings, including their use for impeachment purposes. The information can only be shared with agents, employees, expert witnesses, or representatives of the parties involved. However, any evidence that is otherwise discoverable or admissible does not become excluded simply because it was used during the arbitration.
For a prospective Hck Hot Chicken franchisee, this confidentiality clause offers a degree of protection. It ensures that sensitive business information or disputes resolved through arbitration remain private, preventing potential damage to the franchisee's or the franchisor's reputation. However, it's important to note that this confidentiality is not absolute, as legal requirements may necessitate disclosure in certain situations. Franchisees should be aware of these exceptions and seek legal counsel if they have concerns about confidentiality in the context of potential or ongoing arbitration.