Is All Team responsible for delays caused by civil insurrection?
All_Team Franchise · 2025 FDDAnswer from 2025 FDD Document
- L. Force Majeure. ATFC shall not be liable or responsible in any manner to USER for ATFC's failure to perform or delay in performance under this Processing Agreement when such failure or delay is due directly or indirectly to strike or other labor trouble, fire, flood, material or labor shortage, equipment failure, embargo, transit or delivery stoppage or delay, governmental act, regulation or order, war sabotage, civil insurrection, act of God or the public enemy, or any other cause beyond the reasonable control of ATFC.
Source: Item 23 — RECEIPT (FDD pages 34–161)
What This Means (2025 FDD)
According to All Team's 2025 Franchise Disclosure Document, under the 'Force Majeure' clause of the Processing Agreement, All Team Franchise Corporation (ATFC) is not held liable or responsible to the user (franchisee) for any failure or delay in performance if such failure or delay is directly or indirectly due to civil insurrection. This means that if a civil insurrection causes a delay or failure in All Team's performance, the franchisee cannot hold All Team responsible for any resulting damages or losses.
The 'Force Majeure' clause also lists other events that would excuse All Team's non-performance, including strikes, fires, floods, shortages of materials or labor, equipment failure, embargoes, transit delays, governmental actions, war, sabotage, acts of God, or any other cause beyond All Team's reasonable control. This clause protects All Team from liability for delays or failures caused by events that are outside of its control.
This type of clause is relatively standard in franchise agreements. It is important for prospective franchisees to understand the scope of the 'Force Majeure' clause and how it may affect their business operations. Franchisees should carefully consider the potential impact of such events on their business and take steps to mitigate their risk, such as obtaining appropriate insurance coverage.