What are the indemnification obligations of the franchisee to Delta Hotels By Marriott, its affiliates, and their personnel regarding the performance of services?
Delta_Hotels_By_Marriott Franchise · 2025 FDDAnswer from 2025 FDD Document
-
- Indemnification. Franchisee agrees to defend, indemnify and hold harmless Franchisor its affiliates, and each of their officers, directors, agents and employees, from and against any and all actions, costs, claims, losses, expenses and/or damages, including attorney's fees, arising out of o
Source: Item 7 — Franchisor reserves the right to challenge the applicability of any law that declares provisions in the Agreement void or unenforceable. (FDD pages 288–363)
What This Means (2025 FDD)
According to the 2025 FDD, Delta Hotels By Marriott franchisees have specific indemnification responsibilities. The franchisee must defend, indemnify, and hold harmless Delta Hotels By Marriott, its affiliates, and their officers, directors, agents, and employees. This obligation extends to any actions, costs, claims, losses, expenses, and/or damages, including attorney's fees, that arise from certain circumstances.
This indemnification clause means that the franchisee is responsible for covering the legal costs and potential liabilities incurred by Delta Hotels By Marriott and its related parties in the specified situations. This could include covering legal fees, settlements, or judgments resulting from claims or lawsuits. The franchisee's financial responsibility is not capped by the amount they previously paid for the services that led to the liability.
Such indemnification clauses are standard in franchise agreements. Prospective Delta Hotels By Marriott franchisees should carefully review this section of the agreement with legal counsel to fully understand the scope of their indemnification obligations and the potential financial impact. Understanding these obligations is crucial for assessing the risks associated with the franchise and ensuring adequate insurance coverage.