Who must be named as additional insured under the Brueggers Bagels licensee's insurance policies?
Brueggers_Bagels Franchise · 2025 FDDAnswer from 2025 FDD Document
s whatsoever, together with all counsel fees and expenses, arising out of, concerning or affecting, in whole or in part: the obligations of Licensee under this Agreement or the business conducted by Licensee, its agents or employees under this Agreement, occurring at, in or about the Bakery without limitation and without regard to the cause or causes of the acts, errors, or omissions or the negligence (whether that negligence is sole, joint or concurrent, and whether active or passive) or strict liability of the Indemnitees in connection therewith. Licensor may undertake the defense of any such claim or demand and supervise all settlement negotiations related thereto; provided, however, in that event, Licen
Source: Item 22 — CONTRACTS (FDD page 61)
What This Means (2025 FDD)
According to Brueggers Bagels's 2025 Franchise Disclosure Document, the licensee is required to furnish a Certificate of Insurance to the licensor 30 days before the bakery opens. This certificate must indicate that Brueggers Bagels's licensor, its parents, subsidiaries, and affiliates are listed as additional insured(s) as a Vendor.
This requirement ensures that Brueggers Bagels and its related entities are protected under the licensee's insurance policies against potential liabilities arising from the operation of the franchise. By being named as additional insureds, they can directly benefit from the insurance coverage in the event of a claim related to the franchisee's business.
The general liability insurance policy must include coverage for premises, operations, contractual, and products liability. The policy must provide limits of not less than $5,000,000.00 per occurrence for bodily injury and $5,000,000.00 for Property Damage, or a combined single limit of $5,000,000.00 for bodily injury and property damage. The certificate of insurance must also provide for a 30-day notice to Licensor of any cancellation or material change in coverage.