With whom must an All Team USER cooperate in the defense of legal proceedings involving ATFC?

According to All Team's 2025 Franchise Disclosure Document, a USER (franchisee) must cooperate with All Team Franchise Corporation's (ATFC) attorneys and insurance carriers in the defense of any suit or proceeding in which ATFC is involved. This cooperation includes promptly providing copies of any summons, subpoena, process, notice, or order for appearance related to such legal proceedings.

This requirement means that if All Team faces a lawsuit or legal action that could affect the franchise system, the franchisee is obligated to assist in the defense. This assistance involves sharing relevant documents and working with All Team's legal counsel and insurance providers. The franchisee does not have the option to remain passive or uncooperative.

For a prospective All Team franchisee, this clause highlights the importance of maintaining thorough records and open communication with the franchisor. It also underscores the potential for legal issues to arise that require the franchisee's active participation. Failure to cooperate could lead to legal complications or breaches of the franchise agreement.

This type of clause is relatively standard in franchise agreements, as franchisors often need the cooperation of their franchisees to effectively defend against legal claims that could impact the entire brand or system. Franchisees should be prepared to fulfill these obligations and understand the potential consequences of non-compliance.