White Paper

Arbitration Where the Franchisor is Intentionally Excluded

 

Arbitration clauses can capture all parties and claims if drafted properly.

Arbitration clauses are often avoided when franchisees are looking to recover on claims of fraud. These clauses are contained in the franchise agreement in an effort to prevent jury trials and limited discovery that might delay or even expand the scope of the dispute. The arbitration clause can require joinder of all claims and parties, and avoid all of the evils of unbridled litigation.