Who are the Indemnified Parties that Beef O Bradys franchisees must indemnify, defend, and hold harmless?
Beef_O_Bradys Franchise · 2025 FDDAnswer from 2025 FDD Document
rks in signing any contract or applying for any license or permit, or in a manner that may result in our liability for any of your indebtedness or obligations, and that you will not use the Marks in any way we have not expressly authorized. Neither we nor you will make any express or implied agreements, warranties, guarantees or representations or incur any debt in the name or on behalf of the other, represent that our respective relationship is other than franchisor and franchisee or be obligated by or have any liability under any agreements or representations made by the other that are not expressly authorized in writing. We will not be obligated for any damages to any
person or property directly or indirectly arising out of the Family Sports Pub's operation or the business you conduct pursuant to this Agreement.
- 18.3 Taxes. We will have no liability for any sales, use, alcohol surcharge, service, occupation, excise, gross receipts, income, payroll, property or other taxes, whether levied upon you or the Family Sports Pub, in connection with the business you conduct (except any taxes we are required by law to collect from you with respect to purchases from us). Payment of all such taxes are your responsibility.
- 18.4 Indemnification. You agree to indemnify, defend and hold us, our affiliates and our respective shareholders, directors, officers, employees, agents, successors and assignees (the "Indemnified Parties") harmless from and to reimburse any one or more of the Indemnified Parties for all claims, obligations and damages described in this Section, any and all taxes arising out of the operation of your Family Sports Pub, and any and all claims and liabilities directly or indirectly arising out of the Family Sports Pub's operation (even if our negligence is alleged, but not proven); any element of your development, opening and operation of your Family Sports Pub, including (without limitation) any personal injury, death or property damage suffered by any customer, visitor, operator, employee or guest of the Family Sports Pub; crimes committed on or near your Family Sports Pub or vehicles used by your Family Sports Pub; all acts, errors, neglects or omissions engaged in by you, your contractors or subcontractors, as well as any third party, arising out of or related to the design, construction, conversion, build-out, outfitting, remodeling, renovation or upgrading of your Family Sports Pub, whether or not any of the foregoing was approved by us; defects in any Family Sports Pub you construct and/or operate, whether or not discoverable by you or by us;
Source: Item 23 — RECEIPTS. (FDD pages 66–330)
What This Means (2025 FDD)
According to Beef O Bradys's 2025 Franchise Disclosure Document, franchisees are required to indemnify, defend, and hold harmless specific parties, referred to as "Indemnified Parties". These parties include Beef O Bradys itself, its affiliates, their respective shareholders, directors, officers, employees, agents, successors, and assignees. This means that franchisees are responsible for protecting these individuals and entities from claims, obligations, and damages related to the franchisee's operations.
The franchisee's obligation to indemnify covers a broad range of potential liabilities. These include taxes arising from the operation of the Family Sports Pub, claims and liabilities stemming directly or indirectly from the pub's operation, and any element of the development, opening, and operation of the Family Sports Pub. This extends to incidents such as personal injury, death, or property damage suffered by anyone at the pub, crimes committed on or near the premises, and any actions or omissions by the franchisee or their contractors.
This indemnification clause also encompasses liabilities related to the franchisee's products and services, actions by customers or visitors, and any breach of the Franchise Agreement. However, the franchisee is not required to indemnify the specified parties for losses or liabilities caused by the indemnified party's negligence, willful misconduct, strict liability, or fraud. This modification provides some protection to the franchisee against being held responsible for the franchisor's own actions.
It is important for prospective Beef O Bradys franchisees to understand the scope of this indemnification clause and to consult with legal counsel to assess the potential risks and liabilities associated with operating a franchise. Franchisees should also ensure they have adequate insurance coverage to protect themselves against potential claims.