factual

Are there any exceptions to the waiver of punitive damages for Endless Summer Sweets controversies?

Endless_Summer_Sweets Franchise · 2024 FDD

Answer from 2024 FDD Document

  • 17.2 Damages. In any controversy or claim arising out of or relating to this Agreement, each party waives any right to punitive or other monetary damages not measured by the prevailing party's actual damages, except damages expressly authorized by federal statute and damages expressly authorized by this Agreement.

Source: Item 23 — RECEIPTS (FDD pages 39–125)

What This Means (2024 FDD)

According to Endless Summer Sweets's 2024 Franchise Disclosure Document, in any controversy or claim arising from the Franchise Agreement, both Endless Summer Sweets and the franchisee waive the right to punitive or other monetary damages not measured by the prevailing party's actual damages. However, there are exceptions to this waiver.

The waiver does not apply to damages expressly authorized by federal statute or damages expressly authorized by the Franchise Agreement itself. This means that if a federal law specifically allows for punitive damages in a certain type of dispute, or if the Franchise Agreement outlines specific situations where such damages are permitted, the waiver would not be in effect.

This clause is important for prospective Endless Summer Sweets franchisees to understand, as it limits their ability to seek punitive damages in most disputes with the franchisor. Franchisees should consult with an attorney to fully understand the implications of this waiver and the specific circumstances under which the exceptions might apply.

Disclaimer: This information is extracted from the 2024 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.