What is the definition of 'incidental damages' for which Acumera is not liable to Dq Treat?
Dq_Treat Franchise · 2025 FDDAnswer from 2025 FDD Document
IN NO EVENT SHALL EITHER PARTY HAVE ANY LIABILITY TO THE OTHER PARTY OR ANY THIRD PARTY FOR ANY LOST PROFITS, LOSS OF DATA, LOSS OF USE, COSTS ASSOCIATED WITH INTEGRATION, INTERRUPTION OF BUSINESS, COSTS OF PROCUREMENT OF SUBSTITUTE GOODS OR SERVICES, OR FOR ANY INDIRECT, SPECIAL, INCIDENTAL, PUNITIVE, OR CONSEQUENTIAL DAMAGES HOWEVER CAUSED AND, WHETHER IN CONTRACT, TORT OR UNDER ANY OTHER THEORY OF LIABILITY, WHETHER OR NOT THE PARTY HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGE.
- 18.3.
THE LIMITATIONS IN THIS SECTION 18 DO NOT APPLY TO EITHER PARTY'S LIABILITY FOR ITS (OR ITS RESPECTIVE AGENT'S AND/OR SUBCONTRACTOR'S) GROSS NEGLIGENCE OR WILFULL MISCONDUCT, WILFUL FAILURE TO COMPLY WITH LAW, FRAUD.
Source: Item 17 — The following paragraph is added to the end of Item 17 of the Disclosure Document: (FDD pages 70–378)
What This Means (2025 FDD)
According to the 2025 Dq Treat FDD, Acumera, the provider of certain technology services, limits its liability regarding various types of damages. Specifically, Acumera is not liable to Dq Treat franchisees or any third party for lost profits, loss of data, loss of use, costs associated with integration, interruption of business, or costs of procuring substitute goods or services.
Furthermore, Acumera is not liable for any indirect, special, punitive, or consequential damages, regardless of how these damages are caused or the legal theory under which the claim is made (contract, tort, or other). This limitation applies even if Acumera has been advised of the possibility of such damages. However, these limitations do not apply to liability resulting from Acumera's gross negligence, willful misconduct, willful failure to comply with the law, or fraud.
This means that as a Dq Treat franchisee, you cannot recover these types of damages from Acumera, even if Acumera's actions cause you to incur them. It is important to note the exceptions for gross negligence, willful misconduct, failure to comply with the law, or fraud, where Acumera's liability is not limited. Franchisees should carefully consider this limitation of liability and consult with legal counsel to understand its implications fully.