Does the Card My Yard franchisor assume liability for the actions of the franchisee or their owners?
Card_My_Yard Franchise · 2025 FDDAnswer from 2025 FDD Document
You must clearly inform all workers, before hiring and periodically thereafter, that Franchisee, and not Franchisor, is their employer and that Franchisor does not assume and will not accept any employer, co-employer, or joint employer obligations. You agree to indemnify us for any liability, cost, expense, loss or damage, including attorney's fees and costs, arising from any claim or allegation that Franchisor or any affiliate is the employer, co-employer, or joint employer of Franchisee, its owners, or any workers in the Card My Yard business.
Source: Item 23 — RECEIPTS (FDD pages 84–259)
What This Means (2025 FDD)
According to the 2025 Card My Yard Franchise Disclosure Document, Card My Yard does not assume liability for franchisees, their owners, or their workers. The franchisee is solely responsible as the employer.
Specifically, the franchisee must inform all workers that they, the franchisee, are the employer and not Card My Yard. This notification must occur before hiring and periodically thereafter. This is to ensure clarity and avoid any misinterpretation of the employment relationship.
Furthermore, the franchisee agrees to indemnify Card My Yard from any claims or allegations asserting that Card My Yard is the employer, co-employer, or joint employer of the franchisee, its owners, or any workers. This indemnification covers any liability, costs, expenses, losses, or damages, including attorney's fees, that Card My Yard might incur due to such claims. This provision protects Card My Yard from potential legal and financial burdens arising from the franchisee's business operations and employment practices.