Mediation is very effective in resolving disputes. Franchisors are enthusiastic about mediation, especially pre-suit, because it can eliminate the need to disclose settlements to prospective franchisees otherwise required under the FTC rule. Regardless of whether the mediation involves a franchise dispute, or another negotiated dispute resolution, the focus is now on implementing settlement agreements that can be readily enforced. This issue is particularly acute in dealing with cross-border dispute resolution where enforcement may occur in geographies far from the seat of the dispute that may be the home of the party against whom the agreement is being enforced.

The American Bar Association’s Forum on Franchising recently presented the program “Do you Really Want to Litigate in London or Timbuktu? Negotiating and Settling International Franchise Disputes Before Arbitration or Litigation Heats Up.” International practitioners, Kristin L. Corcoran, Martine De Konig and Robert F. Salkowski, illustrated some of the challenges of international dispute resolution. This discussion explained why we should be prepared to settle these cases early. It also highlighted the importance of having settlement agreements that can be enforced anywhere.