Is Kidokinetics liable for incidental or consequential damages, even if advised of the possibility?

According to Kidokinetics' 2024 Franchise Disclosure Document, Kidokinetics will not be liable for incidental, special, indirect, or consequential damages, including lost profits, even if Kidokinetics has been advised of the possibility of such damages. This means that if a franchisee experiences losses beyond direct damages, such as lost revenue or profits, due to an action or inaction by Kidokinetics, the franchisee will not be able to recover these losses from Kidokinetics.

This limitation of liability is a significant consideration for potential franchisees. It means that the franchisee bears the risk of certain types of losses, even if those losses are a result of Kidokinetics' actions. Franchisees should carefully consider this provision and its potential impact on their business. It is common in franchise agreements to limit liability to some extent, but the specific terms can vary.

Prospective franchisees should seek legal counsel to fully understand the implications of this clause and how it might affect their rights and remedies. Understanding the allocation of risk between the franchisor and franchisee is a crucial part of evaluating a franchise opportunity.