Does the limitation of liability apply to claims arising from negligence under the Bevaris Alliance agreement?
Bevaris_Alliance Franchise · 2024 FDDAnswer from 2024 FDD Document
- 26. Limitation of liability. IN NO EVENT SHALL A PARTY OR ANY OF ITS REPRESENTATIVES BE LIABLE UNDER THIS AGREEMENT TO THE OTHER PARTY OR ANY THIRD PARTY (TO INCLUDE AFFILIATES) FOR ANY CONSEQUENTIAL, INCIDENTAL, INDIRECT, EXEMPLARY, SPECIAL OR PUNITIVE DAMAGES, INCLUDING ANY DAMAGES FOR BUSINESS INTERRUPTION, LOSS OF USE, DATA, REVENUE OR PROFIT, DOWN TIME OR OTHER ECONOMIC LOSSES WHETHER ARISING OUT OF BREACH OF CONTRACT, TORT (INCLUDING NEGLIGENCE), STRICT LIABILITY OR OTHERWISE, REGARDLESS OF WHETHER SUCH DAMAGES WERE FORESEEABLE AND WHETHER OR NOT THE BREACHING PARTY WAS ADVISED OF THE POSSIBILITY OF SUCH DAMAGES.
Source: Item 23 — RECEIPT (FDD pages 22–88)
What This Means (2024 FDD)
According to the 2024 Bevaris Alliance Franchise Disclosure Document, the franchise agreement includes a limitation of liability clause. This clause specifies that neither party, nor their representatives, will be liable to the other or any third party for certain types of damages.
Specifically, the limitation of liability extends to consequential, incidental, indirect, exemplary, special, or punitive damages. This includes damages related to business interruption, loss of use, data, revenue, or profit, downtime, or other economic losses.
Importantly, this limitation applies regardless of whether the damages arise from breach of contract, tort (including negligence), strict liability, or other legal theories. The limitation holds true even if such damages were foreseeable or if the breaching party was advised of the possibility of such damages. This means that even if Bevaris Alliance is negligent, they may not be liable for the types of damages listed.