What is the maximum liability of the Released Parties for damages to a customer of Dickeys Barbecue Pit?
Dickeys_Barbecue_Pit Franchise · 2024 FDDAnswer from 2024 FDD Document
- 6.2 **LIMITATION OF LIABILITY SPARK'S ENTIRE LIABILITY, AND CUSTOMER'S EXCLUSIVE REMEDY, FOR DAMAGES ARISING OUT OF MISTAKES, OMISSIONS, INTERRUPTIONS, DATA LOSS, DELAYS, ERRORS OR DEFECTS IN SMOKESTACK SHALL IN NO EVENT EXCEED THE PROPORTIONATE CHARGE TO CUSTOMER FOR THE PERIOD OF SERVICE DURING WHICH SUCH MISTAKE, OMISSION, INTERRUPTION, DATA LOSS DELAY, ERROR OR DEFECT IN THE SERVICES OCCURRED.
IN NO EVENT SHALL ANY OTHER LIABILITY ATTACH TO SPARK, INCLUDING ANY LIABILITY FOR CONSEQUENTIAL DAMAGES (INCLUDING LOST PROFITS, ADVANTAGE, SAVINGS OR REVENUES, OR INCREASED COST OF OPERATIONS), INCIDENTAL DAMAGES, PUNITIVE & EXEMPLARY DAMAGES, AND EXTRACONTRACTUAL DAMAGES (INCLUDING DECEPTIVE TRADE PRACTICES).**
Source: Item 23 — RECEIPTS (FDD pages 96–388)
What This Means (2024 FDD)
According to the 2024 Dickeys Barbecue Pit Franchise Disclosure Document, the liability of Spark, the provider of Smokestack services, is limited in the event of mistakes, omissions, interruptions, data loss, delays, errors, or defects in Smokestack. The maximum liability will not exceed the proportionate charge to the customer for the period of service during which the issue occurred.
Specifically, Dickeys Barbecue Pit will not be liable for consequential damages, including lost profits, savings, or revenues, or increased cost of operations. The company is also not liable for incidental, punitive, exemplary, or extracontractual damages, including those related to deceptive trade practices.
This limitation of liability is a significant factor for prospective franchisees to consider. It means that Dickeys Barbecue Pit aims to cap its financial exposure related to service disruptions or errors, which could impact customer experience. Franchisees should understand the potential implications of this limitation, especially concerning customer satisfaction and potential disputes arising from service-related issues.
It is important for potential franchisees to fully understand the scope and limitations of this liability clause, as it directly affects the financial responsibilities and risks associated with operating a Dickeys Barbecue Pit franchise. Consulting with a legal professional to review this and other aspects of the franchise agreement is advisable.