If Apricot Lane arranges the E-Commerce Platform, what is the franchisee required to remit?
Apricot_Lane Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee agrees that Franchisor, for and on behalf of Franchisee, may at its option (but shall not be required to) enter into the Provider's Contracts for Franchisee's E-Commerce Platform and to be the administrator thereof and have complete and unrestricted access thereto. In connection with such Franchisor-arranged E-Commerce Platform: (i) Franchisee shall remit to Franchisor (or, at Franchisor's direction, remit directly to the Provider) all fees, costs, expenses and reimbursements required to be paid to the Provider; and (ii) Franchisee shall comply with all terms and conditions of the Provider's Contracts and all mandatory policies issued by Franchisor or Provider in connection therewith.
Franchisee shall procure and maintain in accordance with Section 10 such insurance policies in connection with the E-Commerce Platform as Franchisor may require from time to time and shall indemnify Franchisor, in accordance with Section 21C, for any liabilities, obligations and expenses incurred by Franchisor in connection with the E-Commerce Platform, including any liability, obligation or expense arising under the Provider Contracts.
Source: Item 23 — RECEIPTS (FDD pages 51–222)
What This Means (2025 FDD)
According to Apricot Lane's 2025 Franchise Disclosure Document, if Apricot Lane arranges the E-Commerce Platform for a franchisee, the franchisee must remit to Apricot Lane (or directly to the Provider, if directed) all fees, costs, expenses, and reimbursements required to be paid to the Provider. Additionally, the franchisee must comply with all terms and conditions of the Provider's Contracts and all mandatory policies issued by Apricot Lane or the Provider in connection with the E-Commerce Platform.
This means that franchisees will be responsible for covering all the financial obligations associated with the E-Commerce Platform, as determined by the agreements between Apricot Lane and the Provider. This includes not only the direct costs of the platform but also any related expenses or reimbursements. Franchisees must also adhere to the rules and guidelines set forth by both Apricot Lane and the Provider, ensuring they operate the E-Commerce Platform in accordance with the established standards.
Furthermore, the franchisee is required to procure and maintain insurance policies related to the E-Commerce Platform as Apricot Lane may require and must indemnify Apricot Lane for any liabilities, obligations, and expenses incurred by Apricot Lane in connection with the E-Commerce Platform, including any liability arising under the Provider Contracts. This places a significant responsibility on the franchisee to manage risks associated with the online platform and protect Apricot Lane from any potential financial repercussions.