If Belocal gives consent to a franchisee, does Belocal assume liability to the franchisee or any third party?
Belocal Franchise · 2025 FDDAnswer from 2025 FDD Document
Whenever this Agreement requires the prior approval or consent of Franchisor, Franchisee must make a timely written request to Franchisor, and such approval or consent must be obtained in writing.
No waiver, approval, consent, advice, or suggestion given to Franchisee, and no neglect, delay, or denial of any request therefor, shall constitute a warranty or guaranty by Franchisor, nor does Franchisor assume any liability or obligation to Franchisee or any third party as a result thereof.
Source: Item 22 — CONTRACTS (FDD page 71)
What This Means (2025 FDD)
According to Belocal's 2025 Franchise Disclosure Document, Belocal's approval or consent does not create liability. Specifically, if the Franchise Agreement requires the franchisee to obtain Belocal's prior approval or consent, the franchisee must make a timely written request and obtain such approval or consent in writing. However, any approval, consent, advice, or suggestion given by Belocal does not constitute a warranty or guarantee by Belocal.
Furthermore, Belocal does not assume any liability or obligation to the franchisee or any third party as a result of providing such approval or consent. This means that if Belocal approves a particular action or decision by the franchisee, Belocal is not responsible for any negative consequences that may arise from that action or decision. The franchisee remains solely responsible for their own actions and decisions, even if they have been approved by Belocal.
This provision protects Belocal from potential lawsuits or claims arising from its approvals or consents. It is a common practice in franchising to ensure that the franchisor's guidance and approvals do not expose them to undue liability for the franchisee's business operations. Prospective franchisees should carefully consider this clause and understand that they cannot rely on Belocal's approval as a guarantee of success or protection from liability.