What is the exclusive remedy for a Participating Location regarding defective equipment provided by PAR for a Dq Treat franchise?
Dq_Treat Franchise · 2025 FDDAnswer from 2025 FDD Document
- (d) Exclusive Remedy.
Participating Location's exclusive remedies and PAR's sole liability with respect to the Equipment, including, without limitation, for breach of the limited warranty set forth in subsection (b) above, is expressly limited to repair or replacement of the Equipment.
These exclusive remedies shall not be deemed to have failed in their essential purpose so long as PAR is willing to repair or replace the defective Equipment.
These exclusive remedies are not limited to defects in hardware, software and/or services, but "defects" includes defects/mistakes in firmware, preset data programmed by PAR, and defects in documentation.
PARTICIPATING LOCATION ACKNOWLEDGES AND AGREES THAT THE REMEDIES HEREUNDER ARE PARTICIPATING LOCATION'S SOLE AND EXCLUSIVE REMEDIES WITH RESPECT TO ANY CLAIM BY PARTICIPATING LOCATION IN CONNECTION WITH OR RELATING TO THE EQUIPMENT PROVIDED HEREUNDER.
THE LIMITATIONS IN THIS SECTION DO NOT APPLY TO PAR'S LIABILITY FOR ITS (OR ITS RESPECTIVE AGENTS AND/OR SUBCONTRACTORS) GROSS NEGLIGENCE OR WILFULL MISCONDUCT, VIOLATION OF LAW, FRAUD, INTELLECTUAL PROPERTY INFRINGEMENT, BODILY INJURY (INCLUDING DEATH) OR DAMAGE TO OR LOSS OF ANY TANGIBLE PROPERTY.
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 Dq Treat's 2025 Franchise Disclosure Document, the exclusive remedies and PAR's sole liability regarding equipment, including breaches of the limited warranty, are explicitly limited to the repair or replacement of the equipment. This means that if a Dq Treat franchisee receives defective equipment from PAR, the franchisee's only recourse is to have PAR repair or replace the defective items.
The document clarifies that these exclusive remedies are considered to have fulfilled their essential purpose as long as PAR is willing to either repair or replace the defective equipment. Furthermore, the definition of "defects" extends beyond just hardware and software issues to include problems with firmware, preset data programmed by PAR, and documentation errors. This broad definition ensures that a wide range of equipment-related issues are covered under this exclusive remedy.
The FDD emphasizes that the remedies provided are the franchisee's sole and exclusive options for any claims related to the equipment provided by PAR. However, there are exceptions to these limitations. The limitations do not apply to PAR's liability for its (or its respective agents and/or subcontractors) gross negligence or willful misconduct, violation of law, fraud, intellectual property infringement, bodily injury (including death) or damage to or loss of any tangible property. This means that if PAR's actions go beyond simple defects and involve serious misconduct or negligence, the franchisee may have additional legal recourse beyond just repair or replacement.