Does the liquidated damages payment affect Baya Bar Franchisor's right to other remedies?
Baya_Bar Franchise · 2024 FDDAnswer from 2024 FDD Document
The liquidated damages payable by Franchisee pursuant to this Section 18.1.8 shall be in addition to all other amounts payable under this Agreement and shall not affect Franchisor's right
to obtain appropriate injunctive relief and remedies pursuant to any other provision of this Agreement.
Source: Item 22 — CONTRACTS (FDD page 56)
What This Means (2024 FDD)
According to Baya Bar's 2024 Franchise Disclosure Document, the liquidated damages payable by the franchisee do not affect Baya Bar's right to obtain injunctive relief and other remedies. The FDD specifies that the liquidated damages are in addition to all other amounts payable under the agreement.
This means that even if a franchisee pays liquidated damages, Baya Bar retains the right to pursue other legal remedies, such as seeking a court order (injunctive relief) to stop the franchisee from violating the franchise agreement. This provision protects Baya Bar's interests beyond just monetary compensation.
For a prospective Baya Bar franchisee, this clause highlights the importance of adhering to the franchise agreement. Failure to comply can result in both financial penalties (liquidated damages) and legal actions, potentially leading to further financial burdens and operational restrictions. Franchisees should be aware that paying liquidated damages does not absolve them of other responsibilities or protect them from further legal recourse by Baya Bar.