What is the name of the arbitration proceeding involving Spray Net Canada?
Spray_Net Franchise · 2025 FDDAnswer from 2025 FDD Document
9202137 Canada Inc. and its principal Patricia Joyce v. Spray-Net Canada, Inc. and Carmelo Marsala (collectively, "SN Canada"), Arbitration Proceeding. In or around February 2019, a former franchisee of SN Canada commenced this proceeding alleging that the Franchise Disclosure Document disclosed by SN Canada was materially deficient seeking rescission and corresponding damages. SN Canada has filed its response to the former franchisee's notice of arbitration, and the parties are currently waiting for an arbitrator to be assigned. SN Canada intends to continue vigorously defending against this proceeding on the grounds that the former franchisee's claims are without merit.
Source: Item 3 — LITIGATION (FDD page 13)
What This Means (2025 FDD)
According to Spray Net's 2025 Franchise Disclosure Document, the arbitration proceeding involving Spray-Net Canada, Inc. and Carmelo Marsala is titled "9202137 Canada Inc. and its principal Patricia Joyce v. Spray-Net Canada, Inc. and Carmelo Marsala".
The dispute began around February 2019 when a former Spray Net Canada franchisee alleged that the Franchise Disclosure Document provided by SN Canada was materially deficient. The former franchisee is seeking rescission of the franchise agreement and corresponding damages.
Spray Net Canada has responded to the notice of arbitration and is currently awaiting the assignment of an arbitrator. Spray Net Canada intends to vigorously defend against the proceeding, asserting that the former franchisee's claims lack merit. Prospective franchisees should be aware of this ongoing legal matter and its potential implications.