When reviewing a business contract or franchise agreement for a client, we often read the dispute resolution section first. That section describes the process the parties will use to resolve disputes and what will happen if either party decides to file a lawsuit.
Franchise Dispute Resolution
Some people attempt to minimize franchise disputes by saying “it’s just business” or “it’s only money.” These people have never been in a business dispute.
Many franchisors include an arbitration clause in their franchise agreements to govern franchise dispute resolution. This requires both parties to take any disputes to arbitration instead of to court.