Control variables. In addition to the preceding hypothe- sized predictors, we also control for the potential impact of several other factors on both parties' litigation initiation and resolution decisions. Franchisees making significant invest- ments (TOTINV) are more likely to safeguard these invest- ments and may do so by litigation, if necessary. In times of plenty, the franchise relationship is less likely to experience stress, and parties are more likely to adopt a cooperative stance. We therefore control for the GDP growth rate (GDP) and its probable negative (positive) impact on litigation ini- tiation (ADR). Prior research suggests the royalty rate (ROYAL) to be an important determinant of franchisor behavior (Lafontaine 1992); therefore, we control for it as well. Franchisors that have had more (less) franchising experience, as reflected by the years elapsed since they began franchising (DUR), are also more (less) likely to ini- tiate litigation (choose ADR).