Does the indemnification obligation for Carbones Pizzeria extend to damages resulting from the design or construction of the Restaurant?
Carbones_Pizzeria Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee shall indemnify Franchisor against, and reimburse Franchisor for, all obligations and damages for which Franchisor is liable and for all costs reasonably incurred by Franchisor in the defense of any such claim brought against it, or in any such action in which it is named as a party, arising out of any act or omission of Franchisee, its personnel or contractors, or as a result of any activities occurring at, by, or through Franchisee's business, including the Restaurant, its operation, design, or construction, or otherwise, the sale of the Restaurant, the provision of any products or services, the hiring of any employees, and any advertising conducted by Franchisee. Such indemnification shall include reasonable attorneys' fees, costs of investigation or proof of facts, court costs, other litigation expenses, and travel and living expenses.
Source: Item 23 — RECEIPTS (FDD pages 30–116)
What This Means (2025 FDD)
According to Carbones Pizzeria's 2025 Franchise Disclosure Document, the franchisee's indemnification obligations do extend to damages resulting from the design or construction of the Restaurant. The franchisee must indemnify Carbones Pizzeria against obligations and damages for which Carbones Pizzeria is liable.
This indemnification requirement covers costs incurred by Carbones Pizzeria in defending claims or actions where it is named as a party. These claims can arise from any act or omission by the franchisee, their personnel, or contractors. It also includes activities occurring at, by, or through the franchisee's business, specifically mentioning the Restaurant's operation, design, or construction.
This obligation extends to the sale of the Restaurant, the provision of products or services, the hiring of employees, and any advertising conducted by the franchisee. The indemnification includes reasonable attorneys' fees, costs of investigation, proof of facts, court costs, other litigation expenses, and travel and living expenses.