What is the scope of the proceedings arising out of the use of any of the Marks for which Crave will provide indemnification against and reimbursement?

According to Crave's 2025 Franchise Disclosure Document, Crave will provide indemnification and reimbursement to franchisees for damages they are held liable for in any legal proceeding arising from the franchisee's use of Crave's Marks. This includes any settlement amounts related to such proceedings. However, this protection is conditional.

To be eligible for indemnification and reimbursement, the franchisee and their principals must have fully complied with all the terms outlined in the Franchise Agreement. This means that if a franchisee breaches any aspect of the agreement, they may lose the right to be indemnified by Crave in legal proceedings related to the use of the Marks.

This type of indemnification is a fairly standard practice in franchising, as it protects franchisees from certain legal liabilities associated with using the franchisor's brand and trademarks. However, the key point for a prospective Crave franchisee is to understand and adhere to all the terms of the Franchise Agreement to ensure they remain eligible for this protection. Failure to comply with the agreement could leave the franchisee financially responsible for legal damages and settlements.