Does a 'Force Majeure' event excuse the payment of amounts owed to Byrider?
Byrider Franchise · 2025 FDDAnswer from 2025 FDD Document
Neither the Company nor Franchisee shall be liable for loss or damage or deemed to be in breach of this Agreement if its failure to perform its obligations results from: (1) acts of God; (2) fires, strikes, embargoes, war or riot; or (3) any other similar event or cause that are beyond the control of the party failing to perform its obligations.
Any delay resulting from any of these causes shall extend performance accordingly or excuse performance, in whole or in part, as may be reasonable, except that said cause shall not excuse payment of amounts owed at the time of such occurrence or thereafter and as soon as possible the nonperforming party shall immediately resume performance and, in no event, shall non-performance be excused for more than six (6) months.
Source: Item 23 — Receipts (FDD pages 88–335)
What This Means (2025 FDD)
According to Byrider's 2025 Franchise Disclosure Document, a 'Force Majeure' event does not excuse the payment of amounts owed to Byrider. The FDD specifies that neither Byrider nor the franchisee will be held liable or in breach of the agreement if their failure to perform obligations results from events like acts of God, fires, strikes, embargoes, war, riot, or any other similar cause beyond their control.
While such events may extend or excuse performance of other obligations, this exception does not apply to the payment of amounts already owed or that come due during the event. The franchisee is still responsible for paying all amounts owed to Byrider, even if a 'Force Majeure' event occurs.
The FDD states that the non-performing party must resume performance as soon as possible, and non-performance will not be excused for more than six months. This clause ensures that franchisees cannot indefinitely delay payments due to a 'Force Majeure' event, providing Byrider with some financial security even during unforeseen circumstances.