Does 360 Painting have any responsibility for damages arising from the operation of the franchisee's business?
360_Painting Franchise · 2025 FDDAnswer from 2025 FDD Document
Moreover, Franchisee acknowledges and agrees that Franchisor will not be liable for any losses (financial or otherwise) or damages including consequential or special damages, resulting from any delay in delivery or availability of any of the products or services designated by Franchisor.
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 56)
What This Means (2025 FDD)
According to the 2025 FDD, 360 Painting states that it will not be liable for any losses or damages resulting from delays in the delivery or availability of designated products or services. This means that if 360 Painting designates a supplier and there are delays, the franchisee bears the risk.
This disclaimer of liability appears to relate specifically to delays or availability issues with products or services that 360 Painting designates. It does not clearly address liability for other types of damages that could arise from a franchisee's operation of the business.
Prospective franchisees should seek clarification from 360 Painting regarding the allocation of responsibility for other potential damages, such as those arising from faulty workmanship, property damage, or personal injury caused by the franchisee's employees or subcontractors. Understanding the full scope of liability is crucial for assessing the risks associated with the franchise.