What warranties, if any, does ABCR provide to Budget franchisees regarding the System?
Budget Franchise · 2025 FDDAnswer from 2025 FDD Document
SYSTEM MODIFICATIONS/WARRANTY
-
- ABCR will have the exclusive right, in its sole discretion, at any time, or from time to time, without any liability to Licensee therefor, (i) to modify, amend, replace, sell, lease or otherwise dispose of the System; and (ii) to make other arrangements with any third party to provide installation, maintenance, communications or other services covering all users of the System in replacement for or in addition to any such services contemplated hereunder (but without prejudice to ABCR's continuing obligation to perform this Agreement).
-
- EXCEPT AS OTHERWISE PROVIDED IN THIS AGREEMENT, ABCR PROVIDES THE SYSTEM "AS IS" AND "AS AVAILABLE" WITHOUT ANY WARRANTY OR CONDITION OF ANY KIND, EXPRESS, IMPLIED OR STATUTORY, INCLUDING WITHOUT LIMITATION THE IMPLIED WARRANTIES OF MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, USAGE OF TRADE, OR COURSE OF DEALING. ABCR DOES NOT GUARANTEE CONTINUOUS OR UNINTERRUPTED ACCESS TO THE SYSTEM OR THAT THE SAME WILL BE COMPLETELY SECURE OR ERROR FREE. OPERATION OF THE SYSTEM MAY BE INTERFERED BY NUMEROUS FACTORS OUTSIDE OF ABCR'S CONTROL. ABCR DOES NOT WARRANT THE ACCURACY OR RELIABILITY OF THE RESULTS OBTAINED THROUGH USE OF THE SYSTEM OR ANY DATA OR INFORMATION OBTAINED OR ACQUIRED THROUGH THE USE OF THE SYSTEM.
Source: Item 23 — RECEIPTS (FDD pages 80–426)
What This Means (2025 FDD)
According to Budget's 2025 Franchise Disclosure Document, Avis Budget Car Rental, LLC (ABCR) provides the system "AS IS" and "AS AVAILABLE" without any warranty. This means that Budget franchisees are essentially accepting the system with all its potential faults and limitations.
Specifically, ABCR disclaims all express, implied, or statutory warranties or conditions. This includes implied warranties of merchantability, fitness for a particular purpose, usage of trade, or course of dealing. In practical terms, this means that Budget does not guarantee that the system will meet a franchisee's specific needs or expectations, or that it will function without errors or interruptions.
Furthermore, ABCR does not guarantee continuous or uninterrupted access to the system, nor does it warrant that the system will be completely secure or error-free. The document states that the operation of the system may be interfered with by numerous factors outside of ABCR's control, and ABCR does not warrant the accuracy or reliability of the results obtained through the use of the system or any data or information acquired through it. This lack of warranty is a significant risk factor for prospective franchisees, as it places the burden of dealing with system failures and inaccuracies on the franchisee.