What does a Benjamin Franklin Plumbing franchisee agree to indemnify the franchisor for regarding employment?
Benjamin_Franklin_Plumbing Franchise · 2025 FDDAnswer from 2025 FDD Document
You are required to clearly inform all workers, before hiring and periodically thereafter, that Franchisee, and not Franchisor, is their employer and that Franchisor does not assume and will not accept any employer, co-employer, or joint employer obligations.
You agree to indemnify us for any liability, cost, expense, loss or damage, including attorney's fees and costs, arising from (i) any claim or allegation that Franchisor or any affiliate is the employer, co-employer, or joint employer of Franchisee, its Owners, or any workers in the Franchised Business, and (ii) your use of the Hotline or reliance on any information received during your use of the Hotline.
Source: Item 23 — RECEIPTS (FDD pages 88–312)
What This Means (2025 FDD)
According to the 2025 Benjamin Franklin Plumbing Franchise Disclosure Document, franchisees must inform all workers, before hiring and periodically thereafter, that they (the franchisee), and not Benjamin Franklin Plumbing, is their employer. Benjamin Franklin Plumbing does not assume any employer obligations.
Specifically, the franchisee agrees to indemnify Benjamin Franklin Plumbing for any liability, cost, expense, loss, or damage, including attorney's fees and costs, arising from any claim or allegation that Benjamin Franklin Plumbing or any affiliate is the employer, co-employer, or joint employer of the franchisee, its owners, or any workers in the franchised business. This also applies to the franchisee's use of the Hotline or reliance on any information received during its use.
This requirement protects Benjamin Franklin Plumbing from potential legal issues related to employment claims, ensuring that the franchisee is clearly identified as the employer. This is a common provision in franchise agreements, as franchisors typically want to avoid being held liable for the employment practices of their franchisees. Prospective franchisees should understand this obligation and ensure they comply with all applicable employment laws and regulations.