Who is liable for losses and expenses incurred by a customer in connection with a Certified Technician's performance of Designated Services for a Bumper Man franchise?
Bumper_Man Franchise · 2025 FDDAnswer from 2025 FDD Document
If Franchisee uses any Certified Technician(s) to perform any part of its obligations under this Agreement: (i) Franchisee will ensure that the Certified Technician fully complies with the terms and conditions of this Agreement applicable to such obligations of Franchisee, including without limitation Franchisee's obligations with respect to compliance with the Standards in performance of the Designated Services and operation of the Bumper Business, compliance with Applicable Law, and use of Confidential Information and Intellectual Property, which will have the same force and effect against the Certified Technician as against Franchisee, whether or not specifically stated herein; (ii) Franchisee and its Certified Technician will be jointly and severally liable for all Losses and Expenses incurred by any Customer in connection with the Certified Technician's performance of Designated Services or offer and sale or Products to such Customer and for the negligence or willful misconduct of any such Certified Technician, and for any Losses and Expenses under this Agreement to the same extent as if Franchisee had conducted the work. No delegation to a Certified Technician by Franchisee of any of its obligations under this Agreement will relieve Franchisee of such obligations and Franchisee will remain liable for all of Franchisee's obligations under this Agreement. Franchisee will be fully responsible and liable for the acts, deficiencies and performance of its Certified Technician to the same extent that Franchisee is responsible for the acts, omissions and performance of its Operating Principal and Personnel. If Franchisor consents to Franchisee's use of a Certified Technician, such consent will be limited to the specific instance(s) and use(s) identified in the Certified Technician Addendum and will not extend to any other instances or uses.
Source: Item 23 — RECEIPTS (FDD pages 45–180)
What This Means (2025 FDD)
According to the 2025 Bumper Man Franchise Disclosure Document, the franchisee and its certified technician are jointly and severally liable for losses and expenses incurred by a customer. This liability extends to losses and expenses connected to the Certified Technician's performance of Designated Services, the offer and sale of products to the customer, and any negligence or willful misconduct by the Certified Technician. The franchisee's liability is equivalent to the liability they would have if they had performed the work themselves.
This means that if a customer experiences losses or incurs expenses due to the actions of a Certified Technician, the customer can seek compensation from either the franchisee or the Certified Technician, or both. The term 'jointly and severally liable' means that each party is independently liable for the full amount of the damages; the customer does not have to try to collect only a portion from each party.
This arrangement does not relieve the franchisee of their obligations under the franchise agreement. The franchisee remains responsible for the actions, deficiencies, and performance of its Certified Technician to the same extent that the franchisee is responsible for the acts, omissions, and performance of its Operating Principal and Personnel. Even if Bumper Man consents to the franchisee's use of a Certified Technician, that consent is limited to the specific instances identified in the Certified Technician Addendum and does not extend to other situations.
This clause highlights the importance of carefully selecting and supervising Certified Technicians. Franchisees should ensure that their technicians are well-trained, competent, and adhere to Bumper Man's standards and all applicable laws. Adequate insurance coverage is also crucial to protect against potential liabilities arising from the actions of Certified Technicians.