What representations and warranties does Camp Margaritaville make regarding the use of Services?
Camp_Margaritaville Franchise · 2025 FDDAnswer from 2025 FDD Document
- 4.1 Margaritaville warrants that the Services will be performed in a good and professional manner consistent with generally accepted industry standards and that the deliverables will materially conform to the description in the applicable Statement of Work.
- 4.2 MARGARITAVILLE MAKES NO WARRANTIES EXCEPT FOR THAT PROVIDED IN SECTION 4.1, ABOVE. ALL OTHER WARRANTIES, EXPRESS AND IMPLIED, ARE EXPRESSLY DISCLAIMED.
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- Limitation of Liability. IN NO EVENT SHALL MARGARITAVILLE BE LIABLE TO COMPANY OR TO ANY THIRD PARTY FOR ANY LOSS OF USE, REVENUE, PROFIT, LOSS OF DATA, LOSS OF GOODWILL OR DIMINUTION IN VALUE, OR FOR ANY CONSEQUENTIAL, INCIDENTAL, INDIRECT, EXEMPLARY, SPECIAL, OR PUNITIVE DAMAGES WHETHER ARISING OUT OF CONTRACT, TORT, NEGLIGENCE, STRICT LIABILITY, PRODUCTS LIABILITY OR OTHERWISE, REGARDLESS OF WHETHER SUCH DAMAGE WAS FORESEEABLE AND WHETHER OR NOT MARGARITAVILLE HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES. IN NO EVENT SHALL MARGARITAVILLE'S AGGREGATE LIABILITY ARISING FROM OR RELATING TO THIS AGREEMENT, FROM ALL CAUSES OF ACTION AND THEORIES OF LIABILITY WHATSOEVER EXCEED THE AMOUNT ACTUALLY PAID BY COMPANY TO MARGARITAVILLE UNDER THIS AGREEMENT.
Source: Item 23 — RECEIPTS (FDD pages 72–406)
What This Means (2025 FDD)
According to the 2025 Camp Margaritaville FDD, Margaritaville offers a limited warranty regarding the performance of its services. Specifically, Margaritaville warrants that the services will be performed in a good and professional manner, consistent with generally accepted industry standards. They also guarantee that any deliverables will materially conform to the description outlined in the applicable Statement of Work.
However, Camp Margaritaville explicitly disclaims all other warranties, whether express or implied, beyond the one stated above. This means that franchisees cannot rely on any other guarantees or assurances regarding the services provided.
The FDD also includes a limitation of liability clause, stating that Margaritaville will not be liable for any loss of use, revenue, profit, data, or goodwill, nor for any consequential, incidental, indirect, exemplary, special, or punitive damages. This limitation applies regardless of the legal basis of the claim (contract, tort, negligence, etc.) and whether Margaritaville was aware of the possibility of such damages. In any case, Margaritaville's total liability is capped at the amount the franchisee actually paid to Margaritaville under the agreement.