Under what condition can either party initiate arbitration regarding a Hck Hot Chicken dispute?
Hck_Hot_Chicken Franchise · 2025 FDDAnswer from 2025 FDD Document
Mediation shall be conducted in the JAMS office closest to our principal place of business (currently Sarasota, FL) and shall be conducted and completed within 45 days following the date either party first gives notice of mediation.
If the parties fail to fully resolve such dispute through mediation within such 45-day period, either party may initiate arbitration.
The fees and expenses of the mediator shall be shared equally by the parties.
Source: Item 23 — RECEIPTS (FDD pages 55–245)
What This Means (2025 FDD)
According to Hck Hot Chicken's 2025 Franchise Disclosure Document, if mediation does not fully resolve a dispute within 45 days, either the franchisor or the area developer can initiate arbitration. The mediation is to be conducted at the JAMS office closest to the franchisor's principal place of business, which is currently in Sarasota, FL. The parties are to equally share the mediator's fees and expenses.
This means that prospective Hck Hot Chicken franchisees should be aware that unresolved disputes will first go through mediation. Only if mediation fails within the specified timeframe can arbitration be pursued. This process aims to encourage resolution through a less adversarial method before resorting to binding arbitration.
It is important for franchisees to understand the location of the mediation (Sarasota, FL) as it may involve travel expenses. Franchisees should also consider the potential costs of mediation, including their share of the mediator's fees, when evaluating the dispute resolution process. The 45-day limit for mediation emphasizes the importance of preparing thoroughly and engaging actively in the mediation process to reach a resolution efficiently.