What is the Bevaris Alliance Franchisor's general obligation at law regarding mitigating a loss?

According to the 2024 Bevaris Alliance Franchise Disclosure Document, nothing in the clause regarding indemnity restricts or limits Bevaris Alliance's general obligation at law to mitigate a loss it may suffer or incur as a result of an event that may give rise to a claim under this indemnity.

In simpler terms, this means that if an event occurs that could lead to Bevaris Alliance making a claim for indemnity (compensation for a loss or damage), Bevaris Alliance is legally required to take reasonable steps to minimize the loss. This is a standard legal principle aimed at preventing parties from passively allowing losses to increase when they could have taken action to reduce them.

For a prospective Bevaris Alliance franchisee, this clause is important because it clarifies that while the franchisee may be required to indemnify Bevaris Alliance under certain circumstances, Bevaris Alliance also has a responsibility to minimize any losses. This ensures a degree of fairness and prevents Bevaris Alliance from neglecting to take actions that could reduce the financial impact of a claim.