Who is responsible for the Franchisee's reasonable expenses when cooperating with Bevaris Alliance in Intellectual Property proceedings?

According to Bevaris Alliance's 2024 Franchise Disclosure Document, the franchisor, Bevaris Alliance, is responsible for meeting any reasonable expenses incurred by the franchisee when the franchisee cooperates with Bevaris Alliance in proceedings relating to intellectual property. This includes instances where Bevaris Alliance takes action regarding any infringement or alleged infringement of its intellectual property or issues arising from its use.

This means that if a franchisee is required to provide information, documentation, or other forms of assistance to Bevaris Alliance in an intellectual property dispute, Bevaris Alliance will cover the reasonable costs associated with that cooperation. This could include expenses such as attorney fees, travel costs, or the cost of compiling and providing necessary documents.

This arrangement protects the franchisee from bearing the financial burden of legal proceedings related to Bevaris Alliance's intellectual property. However, the FDD does not define what constitutes 'reasonable expenses,' so franchisees should seek clarity on this point to avoid potential disputes. It is advisable to discuss specific expense scenarios with Bevaris Alliance to establish clear expectations and guidelines.