Who bears the risk of loss or damage to the Licensed System after it is received by the Byrider Licensee?
Byrider Franchise · 2025 FDDAnswer from 2025 FDD Document
-
- Shipment. All risk of loss or damage to the Licensed System after it is received by Licensee shall be borne by Licensee. Licensee shall pay the shipping and handling charges for delivery of the Licensed System or any hardware procured by Licensor for Licensee under this Agreement.
Source: Item 23 — Receipts (FDD pages 88–335)
What This Means (2025 FDD)
According to Byrider's 2025 Franchise Disclosure Document, the Byrider licensee bears the risk of loss or damage to the Licensed System after it is received. This means that once the licensee receives the Licensed System, they are responsible for any loss or damage that may occur to it.
This is a standard practice in franchising, as the franchisee typically assumes responsibility for assets once they are in their possession. The licensee is also responsible for paying the shipping and handling charges for the delivery of the Licensed System or any hardware procured by Byrider for the licensee under the agreement.
As a prospective franchisee, it is important to understand this allocation of risk and to ensure that you have adequate insurance coverage to protect against potential loss or damage to the Licensed System. You may also want to discuss with Byrider what specific steps you can take to minimize the risk of loss or damage to the Licensed System.