Is Better Blend required to indemnify a franchisee for expenses or damages in a copyright infringement proceeding?

According to Better Blend's 2024 Franchise Disclosure Document, Better Blend will indemnify a franchisee for expenses and damages if a legal action alleging trademark infringement is resolved unfavorably to the franchisee, provided the franchisee has used the marks in accordance with the franchise agreement. This protection extends to legal actions brought by a third party.

Specifically, Better Blend is obligated to defend the franchisee (at Better Blend's expense) against any legal action by a third party alleging infringement if the franchisee has used the trademarks in accordance with the agreement. Furthermore, Better Blend will cover the franchisee's expenses and damages if the legal action concludes unfavorably for the franchisee.

This obligation is contingent upon the franchisee's proper use of Better Blend's trademarks as outlined in the franchise agreement. It is important for prospective franchisees to understand the specific guidelines for trademark usage to ensure they are protected under this indemnification clause. Franchisees must also notify Better Blend of any potential trademark infringements by third parties. Better Blend retains the exclusive right to control any legal defense or prosecution related to trademark infringement.