Who must Devon Creek franchisees name as additional insureds on their insurance policies?

According to Devon Creek's 2024 Franchise Disclosure Document, franchisees are required to include specific entities as additional insureds on their insurance policies. This requirement ensures that Devon Creek, its licensor, affiliates, and their respective members, officers, agents, and employees are protected under the franchisee's insurance coverage.

Specifically, all required insurance policies must name Devon Creek Franchisor Group, LLC, the Licensor, their affiliates, and their members, officers, agents, and employees as additional insureds. This means that these parties are entitled to recover under the franchisee's insurance policies for any losses caused by the franchisee or their staff. This provision is designed to protect Devon Creek and its related parties from potential liabilities arising from the franchisee's operations.

This requirement is a common practice in franchising, as it provides an added layer of protection for the franchisor against potential lawsuits or claims related to the franchisee's business. Franchisees should carefully review their insurance policies to ensure compliance with this requirement and understand the implications of naming these entities as additional insureds. Failure to comply with this requirement could result in a breach of the franchise agreement and potential legal or financial repercussions.