Where must mediation occur for disputes related to the Mr. Sandless Franchise Agreement?
Mr_Sandless Franchise · 2025 FDDAnswer from 2025 FDD Document
| PROVISION | SECTION IN FRANCHISE AGREEMENT | SUMMARY | |
|---|---|---|---|
| t. | Integration/merger clause | 25.1 | Only the terms of the Franchise Agreement are binding (subject to applicable federal and/or state law). Any representations or promises outside of the Franchise Disclosure Document and other agreements may not be enforceable. Nothing in the agreement or in any related agreement is intended to disclaim the representations made in the Franchise Disclosure Document. |
| u. | Dispute resolution by arbitration or mediation | 24.2, 24.3 | You must bring any dispute or claim to our President first for discussion before you may bring the dispute to a third party. At our option, all claims or disputes relating to the Franchise Agreement must be submitted first to mediation in Delaware County, Pennsylvania under the National Franchise Mediation Program ("NFMP") in accordance with the NFMP's mediation rules then in effect. (subject to state law) |
| v. | Choice of forum | 24.6 | Subject to state law, for any dispute not subject to or not resolved by mediation, the parties agree to litigate only in a court of general jurisdiction in Delaware County, Pennsylvania, or the United States District Court for the Eastern District of Pennsylvania. |
| w. |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 30–34)
What This Means (2025 FDD)
According to Mr. Sandless's 2025 Franchise Disclosure Document, disputes relating to the Franchise Agreement must first be submitted to mediation in Delaware County, Pennsylvania, under the National Franchise Mediation Program (NFMP), following the NFMP's mediation rules. This is at the option of Mr. Sandless. Franchisees must first bring any dispute or claim to the President of Mr. Sandless for discussion before involving a third party. This requirement is subject to state law.
For any dispute not subject to or not resolved by mediation, the franchisee agrees to litigate only in a court of general jurisdiction in Delaware County, Pennsylvania, or the United States District Court for the Eastern District of Pennsylvania. This is also subject to state law.
It is important to note that the Franchise Agreement is governed by the laws of Pennsylvania, but this is also subject to state law, meaning that certain state laws may override these provisions. For example, the state addendum for Rhode Island notes that any franchise agreement provision restricting jurisdiction or venue to a forum outside of Rhode Island or requiring the application of the laws of another state is void with respect to a claim otherwise enforceable under the Rhode Island Franchise Investment Act.