Does the definition of 'Losses' for a Crab N Spice franchise include costs resulting from delays?

According to the 2024 Crab N Spice Franchise Disclosure Document, the definition of 'Losses' includes costs resulting from delays. Specifically, the definition encompasses all losses, damages, fines, charges, expenses, lost profits, reasonable attorneys' fees, travel expenses, expert witness fees, court costs, settlement amounts, judgments, loss of CNS Franchising's reputation and goodwill, costs of or resulting from delays, financing, costs of advertising material and media time/space and the costs of changing, substituting or replacing the same, and any and all expenses of recall, refunds, compensation, public notices and other such amounts incurred in connection with the matters described.

This broad definition of 'Losses' means that a Crab N Spice franchisee could be responsible for a wide range of costs and expenses, including those arising from delays. These delays could potentially stem from various issues, such as construction delays, permitting delays, or delays in obtaining necessary equipment or supplies. The inclusion of 'costs of or resulting from delays' in the definition of 'Losses' suggests that franchisees may bear the financial burden of such delays, even if they are not directly at fault.

Prospective Crab N Spice franchisees should carefully consider the implications of this definition and assess their potential exposure to costs resulting from delays. It would be prudent to discuss with Crab N Spice the types of delays that could occur and the potential costs associated with them. Understanding the franchisor's expectations and risk allocation regarding delays is crucial before entering into a franchise agreement.