Has the codes dispute resolution process led to an increase in parties adopting mediation over litigation?
As there are no statistics available on the use of litigation and mediation in relation to franchising disputes, both before and after the introduction of the code, there is no definitive answer to this question. NADRAC notes that the survey found that more franchisees and franchisors resolved their problems through discussion and mediation as opposed to legal or court action. This may suggest that it is likely that there has been an increase in the use of mediation to resolve franchising disputes. However, it can be stated no more strongly than that. Q2. Is the code’s dispute resolution process providing a generally less expensive and speedier outcome than litigation? It is the experience of those members of NADRAC who have mediated franchising disputes that these types of disputes can include: • franchisees who are in financial difficulty and simply want to get out of the franchising agreement. They cannot afford litigation and certainly do not want the keep the agreement on foot; •
Related Questions
- What is the role of the Hong Kong International Arbitration Centre (HKIAC) in the dispute resolution process regarding CN domain names or Chinese domain names?
- Are there any dispute resolution procedures other than the compliance complaint and due process mediation and hearing?
- How to start the Process of Alternative Dispute Resolution by Mediation?
