Under what circumstances will Annex Brands not be liable for any loss, injury, claim, liability or damage?
Annex_Brands Franchise · 2025 FDDAnswer from 2025 FDD Document
is Agreement.
- C. FORCE MAJEURE. Neither Franchisor nor Franchisee will be liable for loss or damage or deemed to be in default of this Agreement if its failure to perform its obligations results from: 1) transportation shortages, inadequate supply of equipment, merchandise, supplies, labor, material or energy or the voluntary foregoing of the right to acquire or use any of the foregoing in order to accommodate or comply with the orders, requests, regulations, recommendations or instructions of any federal, state or municipal government or any department or agency thereof; 2) compliance with any law, ruling, order, regulation, requirement or instruction of any federal, state, or municipal government or any department or agency thereof; 3) acts of God; 4) fires, strikes, embargoes, war or riot; or 5) any other similar event or cause. Any delay resulting from any of said causes will extend performance accordingly or excuse performance in whole or in part, as may be reasonable, except that said causes will not excuse payments of amounts owed at the time of such occurrence or payment of royalty fees or other fees due to Franchisor or to its affiliates under this Agreement or any other agreements.
- D. INJUNCTIVE RELIEF. Nothing contained in this Agreement will bar Franchisor's or Franchisee's right to obtain injunctive relief against threatened conduct that will cause it irreparable loss or damages, under customary equity rules, including applicable rules for obtaining restraining orders and preliminary injunctions. Franchisee agrees that Franchisor may have such injunctive relief, without bond, but upon due notice, in addition to such further and other relief as may be available at equity or law, and the sole remedy of Franchisee in the event of the entry of such injunction will be the dissolution of such injunction, if warranted, upon hearing duly had (all claims for damages by reason of the wrongful issuance of any such
injunction being expressly waived hereby). Any action for such injunctive relief will be submitted to a court or to the American Arbitration Association as provided in Subsection 17.H of this Agreement.
- E. RIGHTS OF PARTIES ARE CUMULATIVE. The rights of Franchisor and Franchisee hereunder are cumulative and no exercise or enforcement by Franchisor or Franchisee of any right or remedy hereunder will preclude the exercise or enforcement by Franchisor or Franchisee of any other right or remedy hereunder which Franchisor or Franchisee is entitled by law to enforce.
- F. COSTS AND ATTORNEYS' FEES. If a claim for amounts owed by Franchisor or Franchisee is asserted in any judicial proceeding, arbitration or appeal thereof, or if either party seeks to enforce or interpret this Agreement or Continuing Personal Guarantee (Attachment 2) in any judicial proceeding, arbitration or appeal thereof, the party substantially prevailing in such proceeding will be entitled to reimbursement of its costs and expenses (including reasonable accounting, expert and witness fees, and reasonable attorneys' fees) through appeal.
- G. FRANCHISEE MAY NOT WITHHOLD PAYMENTS.
Source: Item 22 — Contracts (FDD pages 109–110)
What This Means (2025 FDD)
According to Annex Brands' 2025 Franchise Disclosure Document, there are several circumstances under which Annex Brands will not be held liable for losses, injuries, claims, liabilities, or damages.
First, Annex Brands is not liable for failures to perform obligations if those failures result from certain events. These events include transportation shortages, inadequate supplies of equipment, merchandise, labor, or energy; compliance with governmental regulations; acts of God; fires, strikes, embargoes, war, or riots; or any other similar event. However, this "force majeure" clause does not excuse the franchisee from payments owed to Annex Brands.
Second, Annex Brands disclaims any warranty regarding the efficacy of any promotion of the franchisee's center through their websites. They also disclaim any warranty against infringement. Annex Brands, its owners, directors, or officers will not be liable for any indirect, incidental, consequential, punitive, special, or other similar damages, including damages for loss of information, lost profits, or business interruption, arising from the use of their website, any delay or failure to post or update the franchisee's website, or any other event related to the agreement.
Finally, Annex Brands will not be liable in the event of a security breach of the franchisee's website, even if it results in a modification or shutdown. They also state that franchisees have no expectation of privacy with respect to any data transmitted through their Intranet and that Annex Brands will not be liable for any adverse consequences resulting from uncertain and evolving laws regarding Internet advertising and jurisdiction.