For a Jersey Mikes franchise purchased in Washington, where will arbitration or mediation take place?
Jersey_Mikes Franchise · 2025 FDDAnswer from 2025 FDD Document
In any arbitration or mediation involving a franchise purchased in Washington, the arbitration or mediation site will be either in the state of Washington, or in a place mutually agreed upon at the time of the arbitration or mediation, or as determined by the arbitrator or mediator at the time of arbitration or mediation.
In addition, if litigation is not precluded by the franchise agreement, a franchisee may bring an action or proceeding arising out of or in connection with the sale of franchises, or a violation of the Washington Franchise Investment Protection Act, in Washington.
Source: Item 23 — RECEIPTS (FDD pages 77–421)
What This Means (2025 FDD)
According to Jersey Mikes's 2025 Franchise Disclosure Document, the site of arbitration or mediation for a franchise purchased in Washington will be in the state of Washington. However, the location can also be a place mutually agreed upon at the time of the arbitration or mediation. The arbitrator or mediator can also determine the location at the time of arbitration or mediation.
Additionally, if the franchise agreement does not preclude litigation, a franchisee in Washington may initiate legal action or proceedings related to the sale of franchises or violations of the Washington Franchise Investment Protection Act within Washington state.
This stipulation ensures that franchisees are not forced to travel to a distant or inconvenient location for dispute resolution, which is a significant benefit. It provides a more accessible and potentially less costly means of resolving disputes, aligning with the intent of the Washington Franchise Investment Protection Act to protect franchisees' rights.