For what is the Byrider licensee solely responsible regarding retail installment sales and security contracts?
Byrider Franchise · 2025 FDDAnswer from 2025 FDD Document
The Licensed System permits the Licensee to create its own retail installment sales and security contracts for which Licensee is solely responsible.
Licensee is solely responsible for its use, preparation and transmission of Customer Data and the accuracy of Customer Data, or any other aspect, including, for example, Annual Percentage Rate Calculations, of any retail installment sales and security contract created by Licensee through its use of the Licensed System.
Licensee shall indemnify and hold Licensor harmless against claim, action, or cause of action which arises from the use of the Licensed System by Licensee under this Agreement including, but not limited to, attorneys fees actually incurred, costs, expenses, damages, judgments, awards, and penalties, provided that the same does not arise solely from Licensor's negligence or willful misconduct.
Source: Item 23 — Receipts (FDD pages 88–335)
What This Means (2025 FDD)
According to the 2025 Byrider Franchise Disclosure Document, the licensee is solely responsible for creating their own retail installment sales and security contracts using the Licensed System. This means Byrider franchisees have autonomy in generating these contracts but must ensure they are accurate and compliant.
Byrider licensees are exclusively responsible for the use, preparation, and transmission of Customer Data, ensuring its accuracy in all aspects of the retail installment sales and security contracts. This includes, but is not limited to, the Annual Percentage Rate (APR) calculations. The licensee's responsibility extends to the consequences of any instructions they provide to Byrider, any failures in properly accessing the Licensed System as directed, and any inaccuracies or incompleteness in the input information they supply.
Furthermore, the Byrider licensee is obligated to indemnify and hold Byrider harmless from any claims, actions, or causes of action arising from the use of the Licensed System. This indemnification covers attorneys' fees, costs, expenses, damages, judgments, awards, and penalties, unless the issue arises solely from Byrider's negligence or willful misconduct. This highlights the importance of due diligence and accuracy on the franchisee's part when using the Licensed System to create financial contracts.