When are Indemnification Costs and Attorney's Fees due for a Beauty Bungalows franchise?

Question

Accepted Answer

| Type of Fee                                  | Amount                                                                                                                                         | Due Date    | Remarks                                                                                                                                                                                                                                                                                                                                                                                                                                          |
|-------------------------------------------------|------------------------------------------------------------------------------------------------------------------------------------------------|----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|  |  |  | support vendors, mystery shopping, and customer feedback systems. The vendors and suppliers may bill franchisees directly, or we have the right to collect payment for these vendors together with a reasonable markup or charge for administering the payment program. |
| Alternative Supplier Evaluation | Our actual costs in inspecting, testing and investigating the alternative supplier or product, plus travel and living expenses. | Upon invoice | You may only use suppliers and products that we designate or approve in writing. If you propose an alternative supplier or product for use in your Beauty Bungalows Franchise, you must pay the costs of our investigation and testing of the supplier/product, including travel and living expenses incurred during the investigation and testing. |
| Insurance (Note 7) | Actual costs of obtaining insurance on your behalf plus a 10% administrative fee. | On demand | You must purchase the required insurance coverage described in Item 8. If you do not purchase and maintain the required insurance, we may purchase it on your behalf and you must reimburse us for the costs of insurance plus 10% of the premium as an administrative cost for obtaining insurance on your behalf. |
| Indemnification Costs and Attorney's Fees | Will vary according to circumstance | On demand | You must reimburse us for our attorneys' fees and other costs that we incur in connection with any third party claims brought against us that arise out of, or are related to, the operation of your Beauty Bungalows Franchise. You must pay us our attorney's fees and costs for enforcing the terms of any agreement between you and us if you do not comply with the terms of those agreements. |

Source: Item 6 — OTHER FEES (FDD pages 11–15)

When are Indemnification Costs and Attorney's Fees due for a Beauty Bungalows franchise?

Answer from 2025 FDD Document

What This Means (2025 FDD)

Type of Fee	Amount	Due Date	Remarks
			support vendors, mystery shopping, and customer feedback systems. The vendors and suppliers may bill franchisees directly, or we have the right to collect payment for these vendors together with a reasonable markup or charge for administering the payment program.
Alternative Supplier Evaluation	Our actual costs in inspecting, testing and investigating the alternative supplier or product, plus travel and living expenses.	Upon invoice	You may only use suppliers and products that we designate or approve in writing. If you propose an alternative supplier or product for use in your Beauty Bungalows Franchise, you must pay the costs of our investigation and testing of the supplier/product, including travel and living expenses incurred during the investigation and testing.
Insurance (Note 7)	Actual costs of obtaining insurance on your behalf plus a 10% administrative fee.	On demand	You must purchase the required insurance coverage described in Item 8. If you do not purchase and maintain the required insurance, we may purchase it on your behalf and you must reimburse us for the costs of insurance plus 10% of the premium as an administrative cost for obtaining insurance on your behalf.
Indemnification Costs and Attorney's Fees	Will vary according to circumstance	On demand	You must reimburse us for our attorneys' fees and other costs that we incur in connection with any third party claims brought against us that arise out of, or are related to, the operation of your Beauty Bungalows Franchise. You must pay us our attorney's fees and costs for enforcing the terms of any agreement between you and us if you do not comply with the terms of those agreements.