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Does the Crawlspace Medic Franchise Agreement include a section on 'Insurance and Indemnification'?

Crawlspace_Medic Franchise · 2024 FDD

Answer from 2024 FDD Document

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nevertheless be entitled to recover under such policies on any loss caused by Franchisee or Franchisee's servants, agents or employees.

15.6.Indemnification. TO THE FULLEST EXTENT PERMITTED BY LAW, FRANCHISEE AGREES TO EXONERATE AND INDEMNIFY AND HOLD HARMLESS CSM FRANCHISE GROUP, LLC, CRAWLSPACE MEDIC, LLC, AND ANY OF EITHER'S PARENT COMPANY, SUBSIDIARIES, DIVISIONS, AFFILIATES, SUCCESSORS, ASSIGNS AND DESIGNEES (COLLECTIVELY REFERRED TO AS THE "CRAWLSPACE MEDIC INDEMNITEES") AS WELL AS THE CRAWLSPACE MEDIC INDEMNITEES' DIRECTORS, OFFICERS, EMPLOYEES, AGENTS, SHAREHOLDERS, SUCCESSORS, DESIGNEES AND REPRESENTATIVES, FROM ALL CLAIMS BASED UPON, ARISING OUT OF, OR IN ANY WAY RELATED TO THE OPERATION, CONDITION, OR ANY PART OF FRANCHISEE'S CRAWLSPACE MEDIC FRANCHISE, THE FRANCHISED BUSINESS, THE PRODUCTS, THE PREMISES, OR ANY ASPECT OF THE REAL ESTATE CONNECTED TO FRANCHISEE'S FRANCHISED BUSINESS, WHETHER CAUSED BY FRANCHISEE, FRANCHISEE'S AGENTS OR EMPLOYEES, OR ARISING FROM FRANCHISEE'S ADVERTISING OR BUSINESS PRACTICES, REGARDLESS OF WHETHER THE ALLEGED INJURY OR LIABILITY IS CAUSED IN WHOLE OR IN PART BY ANY NEGLIGENT ACT OR OMISSION OF THE CRAWLSPACE MEDIC INDEMNITEES. FRANCHISEE AGREES TO PAY FOR ALL THE CRAWLSPACE MEDIC INDEMNITEES' LOSSES, EXPENSES (INCLUDING, BUT NOT LIMITED TO ATTORNEYS' FEES) OR CONCURRENT OR CONTRIBUTING LIABILITY INCURRED IN CONNECTION WITH ANY ACTION, SUIT, PROCEEDING, INQUIRY (REGARDLESS OF WHETHER THE SAME IS REDUCED TO JUDGMENT OR DETERMINATION), OR ANY SETTLEMENT THEREOF FOR THE INDEMNIFICATION GRANTED BY FRANCHISEE HEREUNDER. THE CRAWLSPACE MEDIC INDEMNITEES SHALL HAVE THE RIGHT TO SELECT AND APPOINT INDEPENDENT COUNSEL TO REPRESENT ANY OF THE CRAWLSPACE MEDIC INDEMNITEES IN ANY ACTION OR PROCEEDING COVERED BY THIS INDEMNITY. FRANCHISEE AGREES THAT TO HOLD THE CRAWLSPACE MEDIC INDEMNITEES HARMLESS, FRANCHSIEE WILL REIMBURSE THE CRAWLSPACE MEDIC INDEMNITEES AS THE COSTS AND EXPENSES ARE INCURRED BY THE CRAWLSPACE MEDIC INDEMNITEES.

Initial

16. TRANSFERS

16.1. Transfers by Franchisor.

16.1.1.

Source: Item 22 — CONTRACTS (FDD page 42)

What This Means (2024 FDD)

According to the 2024 Crawlspace Medic Franchise Disclosure Document, the Franchise Agreement does address indemnification. Specifically, Section 15.6 outlines the franchisee's obligation to indemnify Crawlspace Medic. This means the franchisee agrees to protect Crawlspace Medic from claims and liabilities related to the operation of the franchise.

The franchisee is responsible for exonerating, indemnifying, and holding harmless CSM Franchise Group, LLC, Crawlspace Medic, LLC, their parent companies, subsidiaries, affiliates, and their respective directors, officers, employees, agents, shareholders, successors, designees, and representatives. This indemnification covers claims arising from the franchisee's Crawlspace Medic franchise, the franchised business, products, premises, or any aspect of the real estate connected to the franchised business. This includes situations caused by the franchisee, their agents, or employees, as well as those arising from the franchisee's advertising or business practices.

The franchisee is also responsible for covering all losses and expenses, including attorney's fees, incurred by Crawlspace Medic in connection with any action, suit, proceeding, or inquiry related to the indemnification. Crawlspace Medic has the right to select and appoint independent counsel to represent them in any action covered by this indemnity, and the franchisee must reimburse Crawlspace Medic for these costs and expenses as they are incurred.

Additionally, Section 12.4 states that the franchisee's indemnification obligations set forth in Section 15.6 apply to any claims made against Crawlspace Medic regarding safety or security of the Franchised Business location and vehicle(s), Franchisee's personnel, customers, agents and the general public.

Disclaimer: This information is extracted from the 2024 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.