In Indiana, will a City Wide franchisee be required to indemnify the franchisor for liability resulting from the franchisee's reliance on procedures or products required by the franchisor?

According to City Wide's 2025 Franchise Disclosure Document, an Indiana franchisee will not be required to indemnify City Wide for any liability imposed on City Wide as a result of the franchisee's reliance upon or use of procedures or products which were required by City Wide. This protection applies if the franchisee utilized the procedures or products in the manner required by City Wide.

This provision is favorable for prospective City Wide franchisees in Indiana. It means that if a franchisee follows City Wide's mandated procedures or uses their required products as instructed, and this leads to liability, the franchisee will not be held responsible for covering City Wide's losses. This offers a degree of security, as franchisees are protected when adhering to the franchisor's prescribed methods.

It is important for Indiana franchisees to meticulously follow City Wide's required procedures and product usage guidelines. Any deviation from these requirements could potentially void this protection, leaving the franchisee vulnerable to indemnification claims. Franchisees should maintain thorough records of their compliance with City Wide's directives to substantiate their adherence to the required procedures and product usage.