Who is included in the definition of "Franchisee Indemnities"?
City_Wide Franchise · 2025 FDDAnswer from 2025 FDD Document
City Wide will indemnify and hold Franchisee and its employees or agents ("Franchisee Indemnities") harmless from and against any and all expenses, damages, claims, suits, losses, actions, judgments, liabilities and costs, including Franchisee Indemnities' reasonable attorney's fees, arising out of or based on any claim, action, judicial proceeding, administrative proceeding, personal injury or damage to real or personal property brought or threatened as a result of any negligence or willful misconduct by City Wide.
All such indemnification will survive termination or expiration of this Agreement.
Source: Item 22 — CONTRACTS (FDD page 65)
What This Means (2025 FDD)
According to City Wide's 2025 Franchise Disclosure Document, the term "Franchisee Indemnities" includes the franchisee, as well as its employees or agents. This definition is relevant in the context of City Wide's obligation to indemnify the franchisee under certain circumstances. Specifically, City Wide will indemnify and hold harmless the franchisee and its employees or agents from expenses, damages, claims, suits, losses, actions, judgments, liabilities, and costs, including reasonable attorney's fees. This indemnification applies when such issues arise from negligence or willful misconduct by City Wide.
This means that if a claim, action, or proceeding is brought against the City Wide franchisee, its employees, or agents due to City Wide's negligence or misconduct, City Wide is responsible for covering the associated costs. This protection extends to various types of legal actions, including judicial and administrative proceedings, as well as claims related to personal injury or property damage. The inclusion of employees and agents in the definition of "Franchisee Indemnities" broadens the scope of protection offered by City Wide.
It is important to note that this indemnification by City Wide survives the termination or expiration of the franchise agreement. This provides continued protection to the franchisee and its representatives even after the franchise relationship has ended, as long as the claim arises from actions taken during the term of the agreement. Franchisees should carefully review the conditions and limitations of this indemnification clause to fully understand their rights and obligations.