How many arbitrators will hear the arbitration case involving Hck Hot Chicken?
Hck_Hot_Chicken Franchise · 2025 FDDAnswer from 2025 FDD Document
The fees of, and authorized costs incurred by, the arbitrator will be shared equally by the parties, and each party will bear all of its own costs of arbitration; provided, however, that the arbitration decision will provide that the substantially prevailing party will recover from the other party its actual costs and expenses (including arbitrator's fees and expenses, and attorney fees and expenses) incurred in connection with the dispute.
Source: Item 23 — RECEIPTS (FDD pages 55–245)
What This Means (2025 FDD)
Based on the 2025 Franchise Disclosure Document, the Hck Hot Chicken franchise agreement stipulates that arbitration proceedings will be conducted by an arbitrator. The agreement does not specify a panel of multiple arbitrators. Instead, it refers to "the arbitrator" in the singular, indicating that a single arbitrator will preside over the case.
This means that any disputes between the franchisee and Hck Hot Chicken that proceed to arbitration will be resolved by one neutral arbitrator, rather than a panel. The fees and authorized costs incurred by the arbitrator will be shared equally by both parties. However, the arbitration decision will dictate that the substantially prevailing party will recover its actual costs and expenses, including the arbitrator's fees and attorney fees, from the other party.
Prospective franchisees should be aware that they are agreeing to resolve disputes through a single arbitrator in a location near Hck Hot Chicken's principal place of business (Sarasota, FL). Franchisees should consider the potential costs of travel and legal representation when agreeing to this clause. Understanding this process is crucial for any potential franchisee, as it dictates how legal disputes with Hck Hot Chicken will be handled.