Does the exclusion of liability for Speedline and its suppliers extend to third-party claims against a Beggars Pizza franchisee?
Beggars_Pizza Franchise · 2025 FDDAnswer from 2025 FDD Document
THIS EXCLUSION OF LIABILITY ALSO INCLUDES ANY LIABILITY WHICH MAY ARISE OUT OF THIRD PARTY CLAIMS AGAINST THE CUSTOMER. THE PURPOSE OF THIS PROVISION IS TO LIMIT THE POTENTIAL LIABILITY OF SPEEDLINE AND THE SUPPLIERS ARISING OUT OF THIS AGREEMENT.
Source: Item 23 — RECEIPT (FDD pages 39–192)
What This Means (2025 FDD)
According to the 2025 Beggars Pizza Franchise Disclosure Document, the exclusion of liability for Speedline and its suppliers does extend to third-party claims against a Beggars Pizza franchisee. Specifically, the agreement states that the exclusion of liability includes any liability that may arise out of third-party claims against the customer. The purpose of this provision is to limit the potential liability of Speedline and its suppliers arising out of the agreement.
This means that if a third party, such as a customer or vendor, brings a claim against a Beggars Pizza franchisee related to the Speedline service, Speedline and its suppliers aim to limit their responsibility for any damages or losses. However, the franchisee should be aware that this exclusion of liability does not necessarily protect them from such claims, but rather protects Speedline and its suppliers.
It is important for a prospective Beggars Pizza franchisee to fully understand the implications of this liability exclusion. While it protects Speedline, it may leave the franchisee vulnerable to certain liabilities. Franchisees should consult with legal counsel to understand their rights and obligations under the agreement and to assess the potential risks associated with third-party claims. Franchisees may also want to consider obtaining appropriate insurance coverage to protect themselves against such claims.