Does the All States M.E.D. franchise agreement allow third parties to be considered beneficiaries with rights or remedies under the agreement?
All_States_M_E_D Franchise · 2024 FDDAnswer from 2024 FDD Document
22.14 Third Party Beneficiaries
Anything to the contrary notwithstanding, nothing in this Agreement is intended, nor shall be deemed, to confer upon any person or legal entity other than Franchisor or Franchisee, and their respective successors and assigns as may be contemplated by this Agreement, any rights or remedies under this Agreement.
Source: Item 23 — RECEIPTS (FDD pages 44–174)
What This Means (2024 FDD)
According to the 2024 All States M.E.D. Franchise Disclosure Document, the franchise agreement explicitly states that it does not confer any rights or remedies to third parties. This means that only All States M.E.D. and the franchisee, along with their respective successors and assigns as contemplated by the agreement, are entitled to enforce the terms of the agreement.
This provision is common in franchise agreements to limit liability and ensure that only the parties directly involved in the contractual relationship can bring claims or seek remedies under it. It prevents external parties from claiming rights or benefits based on the agreement between All States M.E.D. and its franchisees.
For a prospective All States M.E.D. franchisee, this clause clarifies that the franchise agreement is solely between them and All States M.E.D. and that no other entity can claim rights or benefits under it. This can be important in understanding the scope and limitations of the contractual relationship.