What aspects of the mediation process are considered confidential in Hck Hot Chicken franchise disputes?
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 Hck Hot Chicken's 2025 Franchise Disclosure Document, the entire arbitration proceedings and related documents are considered confidential, except as required by applicable law, including the required disclosure in Hck Hot Chicken's franchise disclosure document. This means that all aspects of the arbitration, from the initial filing to the final award, are to be kept private and not disclosed to third parties.
The confidentiality extends to all documents related to the arbitration, ensuring that sensitive information remains protected. This confidentiality provision aims to encourage open and honest communication during the arbitration process, as parties can be more candid without fear of public disclosure. However, there are exceptions where disclosure is mandated by law, such as the information required in the franchise disclosure document itself.
Furthermore, the FDD specifies that these confidential matters will not be discoverable or admissible for any purposes, including impeachment, in any litigation or other proceeding involving the parties. This means that the information revealed during arbitration cannot be used against either party in future legal proceedings. The information can only be disclosed to agents, employees, expert witnesses, or representatives 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.