When two or more people come together to form a business, there are bound to be disagreements. This is especially true in the franchising world, where the interests of the franchisee and the franchisor can sometimes be at odds. In order to avoid costly and time-consuming litigation, many Florida businesses are turning to mediation as a way to resolve disputes.
What mediation is
Mediation is a process in which an impartial third party, the mediator, helps the two parties involved in a dispute to reach an agreement. Mediation is voluntary and non-binding, meaning that either party can walk away at any point if they are not satisfied with the outcome. It is designed to be less adversarial than traditional litigation and can often lead to a faster resolution of the dispute.
How mediation can help with franchising
Mediation can be helpful for employment and labor law issues in franchising because it allows the two parties to openly discuss their concerns and come up with viable solutions outside of the courtroom.
For example, if a franchisee feels that a franchisor is not following the law, mediation can provide an opportunity for the franchisee to voice their concerns while still maintaining a cordial relationship with the franchisor. The mediator can help both sides come up with an agreement that satisfies everyone involved and avoids costly legal fees.
The main advantage of using mediation is that it allows the two parties to come to a resolution without having to go through expensive and lengthy litigation. Additionally, mediation can help preserve relationships between franchisees and franchisors since it provides an opportunity for both sides to communicate openly and constructively. Therefore, if you are involved in a dispute over employment or labor laws within your franchising business, mediation may be the best option to avoid further conflict and reach an amicable solution.