Does the Amorino franchise agreement include a waiver of punitive damages?

According to Amorino's 2025 Franchise Disclosure Document, both Amorino and the franchisee waive, to the fullest extent permitted by law, any right to or claim of any punitive or exemplary damages against the other. In the event of a dispute, both parties agree to be limited to the recovery of any actual damages sustained. This means that neither Amorino nor the franchisee can seek punitive damages, which are intended to punish the wrongdoer, and can only recover the actual financial losses they incurred.

This waiver of punitive damages is a significant provision in the franchise agreement. It limits the potential financial exposure of both the franchisee and Amorino in case of a dispute. While it protects both parties from potentially large punitive damage awards, it also means that a party who has been wronged will not be able to recover more than their actual losses, even if the other party's conduct was particularly egregious.

Such waivers are relatively common in franchise agreements. They aim to create a more predictable and less adversarial legal environment. However, franchisees should carefully consider the implications of waiving their right to seek punitive damages, as it could limit their potential recovery in certain situations.

Additionally, the agreement specifies that a franchisee may only seek damages or any remedy under law or equity against Amorino's business entity. Amorino's affiliates, officers, directors, managers, members, partners, shareholders, independent contractors, and employees will not be liable and may not be named as a party in any proceeding commenced by the franchisee if the claim arises out of or relates to the franchise agreement.