factual

Does the liquidated damages provision limit Dollar Rent A Car's other rights and remedies?

Dollar_Rent_A_Car Franchise · 2025 FDD

Answer from 2025 FDD Document

onable best efforts to obtain reliable assurance that confidential treatment shall be accorded such Confidential Information.

    1. Recipient shall be liable to Franchisor and Franchisee for any and all damage, loss, losses, costs and expenses, including reasonable attorneys' fees, caused by the willful or negligent use or disclosure of any Confidential Information in violation of this Agreement

    1. Recipient acknowledges that any violation of this Agreement by Recipient will cause irreparable harm for which no adequate remedy at law may be available. Accordingly, Recipient consents to the issuance of an injunction to prevent or to halt any such violation. Recipient also agrees the Franchisor and Franchisee may each avail themselves of any other rights and remedies which they may have under this Agreement or otherwise. Further, any claim that Recipient may have against Franchisor or Franchisee, whether or not arising from this Agreement, shall not constitute a defense to the enforcement of the confidentiality provisions in this Agreement.
    1. Recipient acknowledges and agrees that Franchisor and Franchisee are intended third-party beneficiaries of this Agreement and that they each are independently entitled to enforce any provision of this Agreement.
    1. If any part of this Agreement is held invalid by a court or agency, the rest of this Agreement shall remain enforceable, and the part held invalid shall be enforceable to the extent found reasonable by the court or agency.
    1. This Agreement contains the entire agreement between Recipient, the Franchisor, and the Franchisee concerning confidentiality and related matters. This Agreement may be modified only by mutual agreement of the parties executed in writing.

Source: Item 23 — RECEIPTS (FDD pages 102–301)

What This Means (2025 FDD)

According to the 2025 Dollar Rent A Car Franchise Disclosure Document, franchisees acknowledge that any violation of the agreement will cause irreparable harm, for which there may be no adequate remedy at law. As such, Dollar Rent A Car franchisees consent to the issuance of an injunction to prevent or halt any such violation. Franchisees also agree that Dollar Rent A Car may avail itself of any other rights and remedies which they may have under the agreement or otherwise.

In the event that a Dollar Rent A Car franchisee breaches any provision of the agreement, any material provision of the Operations Guide, or any other agreement between Dollar Rent A Car or its affiliate and the franchisee or their affiliate, the franchisee will be liable for liquidated damages and pay Dollar Rent A Car $100 for each day that such non-compliance is in effect.

For North Dakota franchisees, the North Dakota Securities Commissioner may view requiring North Dakota franchisees to consent to liquidated damages or termination penalties as unfair, unjust, or inequitable.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.