Does the maximum aggregate liability of All Team include its employees?
All_Team Franchise · 2025 FDDAnswer from 2025 FDD Document
ATFC MAXIMUM AGGREGATE LIABILITY AND THE MAXIMUM AGGREGATE LIABILITY OF ANY OF ATFC'S OFFICERS, OWNERS, DIRECTORS, MEMBERS, MANAGERS, EMPLOYEES, AFFILIATES, PARENTS OR SUBSIDIARIES RELATED TO ANY AND ALL CLAIMS RELATING TO OR ARISING FROM THIS AGREEMENT OR THE RELATIONSHIP SET FORTH IN THIS AGREEMENT SHALL BE COLLECTIVELY LIMITED TO THE AMOUNT USER PAID TO ATFC WITHIN THE PRIOR 12 MONTHS IMMEDIATELY BEFORE WRITTEN NOTICE OF ANY PROPER CLAIM IS RECEIVED BY ATFC.
Source: Item 23 — RECEIPT (FDD pages 34–161)
What This Means (2025 FDD)
According to All Team's 2025 Franchise Disclosure Document, the maximum aggregate liability does include its employees. The document states that the maximum aggregate liability of All Team and that of its officers, owners, directors, members, managers, employees, affiliates, parents, or subsidiaries related to claims arising from the agreement is limited to the amount the user paid to All Team within the 12 months before written notice of a claim.
This means that if a franchisee (USER) has a claim against All Team or any of the listed related parties, including employees, the total amount All Team could be liable for is capped. This cap is based on the fees the franchisee paid to All Team in the year leading up to the claim.
For a prospective All Team franchisee, this clause provides some clarity on the potential liability All Team faces in the event of a dispute. It also highlights that the franchisee's potential recovery is limited to the amount they've paid to All Team in the previous year, which could be significantly less than the actual damages incurred. Franchisees should consider this limitation when evaluating the potential risks and rewards of investing in an All Team franchise.