What is the process for resolving disputes between a franchisor and franchisee?

Resolving disputes between a franchisor and franchisee in Washington is a multi-step process. First, the franchisor and franchisee should attempt to reach an agreement through informal negotiations. The franchisor and franchisee should try to come to an agreement that is satisfactory to both parties and allows the franchise relationship to continue. If the parties are unable to reach an agreement, the franchisor and franchisee may take the dispute to arbitration. Arbitration is a form of dispute resolution conducted by an impartial third-party. The arbitration hearing will take place before a panel of experts in the field of franchising. The panel will review the arguments of both parties and make a decision based on what is deemed to be fair and equitable. The arbitration award will be legally binding and enforceable. If the parties are still unable to reach an agreement, they may take the dispute to a trial court. In a trial, the franchisor and franchisee will present their arguments to a judge and a jury. The judge and jury will review the evidence presented and make a decision in the case. The decision of the court is final and binding. Ultimately, it is in the best interest of the parties to reach an agreement before escalating the dispute to a courtroom. The cost and time associated with arbitration and court proceedings can be substantial, and the outcome is not always guaranteed. If negotiations fail, the franchisor and franchisee should seek the assistance of qualified attorneys who are experienced in franchise law.

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