What happens to a claim that is not submitted or filed in the Kitchen Solvers arbitration proceeding?

According to Kitchen Solvers' 2025 Franchise Disclosure Document, any claim that would constitute a compulsory counterclaim, as defined by Rule 13 of the Federal Rules of Civil Procedure, and is not submitted or filed in an arbitration proceeding will be permanently barred.

This means that if a Kitchen Solvers franchisee has a claim against the company that is related to a claim the company has brought against them in arbitration, the franchisee must bring that claim in the same arbitration proceeding. Failure to do so will result in the franchisee losing the right to pursue that claim in the future. This is a significant point for prospective franchisees to understand, as it emphasizes the importance of identifying and asserting all potential claims during arbitration.

This requirement is designed to ensure that all related disputes are resolved in a single proceeding, promoting efficiency and preventing piecemeal litigation. However, it places the onus on the franchisee to be diligent in identifying and presenting all compulsory counterclaims during the arbitration process. Franchisees should seek legal counsel to ensure they understand their rights and obligations in arbitration and to avoid inadvertently waiving any valid claims against Kitchen Solvers.