factual

What is the intention of the parties when participating in the Kitchen Solvers mediation procedure?

Kitchen_Solvers Franchise · 2025 FDD

Answer from 2025 FDD Document

s will endeavor, in good faith, to resolve the dispute outlined in the Dispute Notice. If the parties have been unable to resolve any such dispute within twenty (20) days after the date the Mediation Notice is provided by the Initiating Party to the other party, either party may initiate a mediation procedure in accordance with this provision. The parties agree to participate in the mediation proceedings in good faith with the intention of resolving the dispute if at all possible within sixty (60) days of the notice from the party seeking to initiate the mediation procedures. The parties agree to participate in the mediation procedure to its conclusion, as set forth in this section.

The mediator shall advise the parties in writing of the format for the meeting or meetings. If the mediator believes it will be useful after reviewing the position papers, the mediator shall give both himself or herself and the authorized person designated by each party an opportunity to hear an oral presentation of each party's views on the matter in dispute. The mediator shall assist the authorized persons to negotiate a resolution of the matter in dispute, with or without the assistance of counsel or others. To this end, the mediator is authorized both to conduct joint meetings and to attend separate private caucuses with the parties. All mediation sessions will be strictly private. The mediator must keep confidential all information learned unless specifically authorized by the party from which the information was obtained to disclose the information to the other party.

The parties commit to participate in the proceedings in good faith with the intention of resolving the dispute if at all possible. The mediation may be concluded: (a) by the signing of a settlement agreement by the parties; (b) by the mediator's declaration that the mediation is terminated; or (c) by a written declaration of either party, no earlier than at the conclusion of a full day's mediation, that the mediation is terminated. Even if the mediation is terminated without resolving the dispute, the parties agree not to terminate negotiations and not to begin any arbitration or legal action or seek another remedy before the expiration of five (5) days following the mediation.

Source: Item 23 — Receipts (FDD pages 49–190)

What This Means (2025 FDD)

According to the 2025 Kitchen Solvers Franchise Disclosure Document, both parties agree to participate in mediation proceedings in good faith, aiming to resolve any disputes within 60 days of initiating the mediation. This indicates that Kitchen Solvers encourages open communication and problem-solving to avoid costly and time-consuming litigation or arbitration.

Kitchen Solvers outlines that the mediation may conclude in one of three ways: through a signed settlement agreement, the mediator's declaration of termination, or either party's written declaration of termination after a full day of mediation. Even if mediation doesn't fully resolve the dispute, both parties agree to postpone any arbitration, legal action, or other remedies for at least five days following the mediation, allowing a cooling-off period for further negotiation. An exception exists if arbitration is necessary to prevent a statute of limitations from expiring or to seek an injunction against irreparable harm.

This mediation process emphasizes confidentiality, as no stenographic, visual, or audio records are permitted. Any statements, offers, or opinions made during mediation are privileged and not admissible in evidence for any purpose, ensuring a safe environment for open discussion. However, existing evidence does not become inadmissible simply because it was used during mediation. The fees and expenses of the mediator are to be shared equally between Kitchen Solvers and the franchisee.

For a prospective Kitchen Solvers franchisee, this means that the franchise agreement includes a structured process for resolving disputes outside of court. While mediation is not binding, it demonstrates Kitchen Solvers' commitment to resolving issues amicably and cost-effectively. Franchisees should be aware of the timelines and conditions for mediation, as well as the confidentiality provisions, before entering into a franchise agreement.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.