factual

What costs are included in the Batteries Plus Bulbs franchisee's indemnification obligations to the Franchisor?

Batteries_Plus_Bulbs Franchise · 2025 FDD

Answer from 2025 FDD Document

  • **B.

Franchisee Indemnification Obligations.

Franchisee agrees to indemnify and hold Franchisor and its subsidiaries, affiliates, stockholders, members, directors, officers, employees and agents harmless against, and to reimburse them for, any loss, liability or damages arising out of or relating to Franchisee's ownership or operation of the Store, and all reasonable costs of defending any claim brought against any of them or any action in which any of them is named as a party (including reasonable attorneys' fees and interest) unless the loss, liability, damage or cost is solely due to the Franchisor's breach of this Agreement, gross negligence or willful misconduct.**

Source: Item 22 — Contracts (FDD page 80)

What This Means (2025 FDD)

According to the 2025 Batteries Plus Bulbs Franchise Disclosure Document, franchisees are required to indemnify Batteries Plus Bulbs and its related parties. This means the franchisee must protect Batteries Plus Bulbs from losses, liabilities, or damages that arise from the franchisee's ownership or operation of the store.

Specifically, the franchisee must cover any loss, liability, or damages that Batteries Plus Bulbs incurs due to the franchisee's business. This includes all reasonable costs Batteries Plus Bulbs incurs to defend against any claims or legal actions, including reasonable attorneys' fees and interest.

However, the franchisee is not responsible for these costs if the loss, liability, damage, or cost is solely due to Batteries Plus Bulbs' breach of the franchise agreement, gross negligence, or willful misconduct. This section outlines the financial responsibilities a franchisee assumes and protects Batteries Plus Bulbs from liabilities related to the franchisee's business operations, except in cases where Batteries Plus Bulbs is directly at fault.

Disclaimer: This information is extracted from the 2025 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.