What is the dependency for Deer Solution to reimburse a franchisee's costs in defending the use of trademarks?
Deer_Solution Franchise · 2025 FDDAnswer from 2025 FDD Document
not caused by Franchisee's negligent, willful act or failure to act.
Franchisor shall have no liability for any sales, use, excise, gross receipts, property, or other taxes, whether levied upon Franchisee, the Franchised Business or its assets, or upon Franchisor in connection with sales made, services performed or business conducted by Franchisee.
10.B. INDEMNIFICATION BY FRANCHISEE
Franchisee and each Owner shall indemnify, defend through counsel acceptable to Franchisor, and hold Franchisor, Franchisor's affiliates, and their respective officers, directors, shareholders, members, owners, partners, agents, representatives, independent contractors, employees, assigns and successors (the "Franchisor Indemnified Parties") harmless from all losses, expenses, claims, causes of action, lawsuits,
liabilities, taxes, costs, demands, proceedings, investigations, hearings, and/or damages arising out of, or relating to, Franchisee's Administrative Office, and/or the Franchised Business (including, without limitation, the ownership and operation of the Franchised Business), unless such loss, expense, claim, cause of action, lawsuit, liability, tax, cost, demand, proceeding, or damage is solely due to Franchisor's gross negligence, and Franchisee shall pay all of the Franchisor In
Source: Item 23 — RECEIPTS (FDD pages 55–246)
What This Means (2025 FDD)
Based on the 2025 Deer Solution Franchise Disclosure Document, franchisees are required to indemnify and defend Deer Solution and its affiliates against various losses, expenses, claims, and causes of action. Specifically, franchisees must defend Deer Solution against claims arising from the franchisee's operation of the Deer Solution business or any assertion that the franchisee's use of trademarks infringes upon the rights of others.
This obligation extends to covering legal expenses and settlements resulting from claims related to the franchisee's operation or trademark usage. However, this is contingent upon the franchisee's actions or omissions.
In practical terms, a Deer Solution franchisee bears the responsibility for any legal challenges arising from their business operations, including trademark-related issues. This means that if a third party claims the franchisee's use of Deer Solution's trademarks infringes on their rights, the franchisee is responsible for defending Deer Solution against such claims. The franchisee must cover all associated costs, including legal fees and potential settlement amounts. This arrangement protects Deer Solution from liabilities caused by the franchisee's actions but places a significant financial burden on the franchisee.