Does the Byrider franchise agreement include a waiver of punitive damages?

According to the 2025 Byrider Franchise Disclosure Document, the standard franchise agreement includes a clause where both Byrider and the franchisee waive any claim to punitive damages in any legal action. Specifically, section 20.8 of the agreement contains this waiver. This means that neither party can seek punitive damages, which are intended to punish the wrongdoer, in addition to actual damages, in case of a dispute.

However, this waiver is not absolute. For franchisees operating in North Dakota, section 20.8 of the Franchise Agreement is deleted in its entirety. Therefore, in North Dakota, franchisees retain their right to seek punitive damages. Similarly, in Minnesota, the franchise agreement cannot override any rights conferred by Minnesota Statutes Chapter 80C, meaning the enforceability of the waiver may be limited.

Prospective franchisees should be aware of these waivers and their potential impact on their legal rights, especially considering the location of their franchise. It is advisable to consult with a legal professional to fully understand the implications of these waivers and how they apply in their specific jurisdiction. This is a fairly common clause in franchise agreements, but the specific state laws can modify the impact of the clause.