Does the Bevaris Alliance agreement limit liability for incidental damages?

According to the 2024 Bevaris Alliance Franchise Disclosure Document, the franchise agreement includes a clause limiting liability. Specifically, it states that neither party, nor their representatives, can be held liable for consequential, incidental, indirect, exemplary, special, or punitive damages. This limitation extends to damages related to business interruption, loss of use, data, revenue, or profit, downtime, or other economic losses.

This limitation applies regardless of whether the damages arise from breach of contract, tort (including negligence), strict liability, or other causes. It also applies irrespective of whether such damages were foreseeable or whether the breaching party was advised of the possibility of such damages. This clause aims to protect Bevaris Alliance from potentially large and unpredictable damage claims.

For a prospective Bevaris Alliance franchisee, this means that the ability to recover damages from the franchisor for certain types of losses is limited. While this may reduce the franchisor's risk, it also places a greater burden on the franchisee to manage their business carefully and to secure adequate insurance coverage to protect against potential losses. Franchisees should carefully consider the implications of this limitation of liability and seek legal advice to fully understand their rights and obligations under the franchise agreement.