Under the Advanced Mobile Iv And Amiv agreement, what is each party indemnified against?
Advanced_Mobile_Iv_And_Amiv Franchise · 2023 FDDAnswer from 2023 FDD Document
o a third party. The transfer will not be at a lower price or on more favorable terms than disclosed to us. Any transfer will be subject to our prior written permission described in the section entitled "Sale or Assignment," above. If the Franchise is not transferred by you within 6 months from the date it is offered to us, or if any material change is made in the terms of the proposed sale, then you must re-offer to transfer to us before a transfer to a third party.
We may assign our rights under this Section to any other person or entity.
8 INDEMNITY AND INSURANCE
8.1 Indemnity. You will indemnify and hold us harmless from all fines, suits, proceedings, claims, demands, actions, losses, attorney fees and damages arising out of or connected with the Franchise and the business activities, acts or omissions of you and your employees and agents, including those brought against you and us jointly alleging that you and we were negligent or otherwise liable. We will not be liable to you or to any other person because of your act, omission, neglect, or breach. If it is established that both you and we were negligent or otherwise liable, you and we will contribute to the relevant award, and the obligation to indemnify and hold harmless will be determined, based upon the adjudicated and assigned respective degree of fault. In the event of a settlement prior to adjudication, you and we will agree to degrees of fault.
Source: Item 23 — RECEIPTS (FDD pages 54–202)
What This Means (2023 FDD)
According to Advanced Mobile Iv And Amiv's 2023 Franchise Disclosure Document, the franchisee is required to indemnify and hold Advanced Mobile Iv And Amiv harmless from all fines, suits, proceedings, claims, demands, actions, losses, attorney fees, and damages. This includes those arising out of or connected with the franchise and the business activities, acts, or omissions of the franchisee, their employees, and agents. This also covers claims brought against both the franchisee and Advanced Mobile Iv And Amiv jointly, alleging negligence or other liabilities.
Advanced Mobile Iv And Amiv will not be liable to the franchisee or any other person due to the franchisee's act, omission, neglect, or breach. If both the franchisee and Advanced Mobile Iv And Amiv are found negligent or otherwise liable, they will contribute to the award based on their respective degree of fault, as determined by adjudication or agreed upon in a settlement. The franchisee will also indemnify Advanced Mobile Iv And Amiv for any loss, cost, or expense, including attorneys' fees, sustained by Advanced Mobile Iv And Amiv due to the acts or omissions of the franchisee's vendors or suppliers or arising out of the franchise.
This indemnification clause means that franchisees bear significant responsibility for any legal or financial repercussions resulting from their business operations. It is a common practice in franchising to protect the franchisor from liabilities caused by the franchisee's actions. However, franchisees should carefully review this clause with legal counsel to understand the full scope of their obligations and potential risks. Franchisees should also ensure they have adequate insurance coverage to mitigate these risks.
In practical terms, this means that if a customer sues Advanced Mobile Iv And Amiv because of something the franchisee or one of their employees did, the franchisee will have to cover Advanced Mobile Iv And Amiv's legal costs and any damages awarded. This could include situations like a medical error during an IV treatment or a car accident involving a franchisee's mobile unit. The franchisee's responsibility extends to the actions of their vendors and suppliers as well, highlighting the importance of carefully selecting and managing these relationships.