Under what conditions is a Dq Treat Participating Location required to indemnify PAR and its affiliates?
Dq_Treat Franchise · 2025 FDDAnswer from 2025 FDD Document
Participating Location agrees to indemnify, defend, and hold PAR, and PAR's parent companies, subsidiaries, and affiliates, and their respective directors, officers, agents, cobranders or other partners, representatives, contractors, and employees, harmless from any claim or demand, including reasonable attorneys' fees, made by any third party due to or arising out of Participating Location PARPay Data being illegal or infringing on a third party's Intellectual Property Rights, Participating Location's use or Participating Location's Authorized Users' use of the PARPay Service, Participating Location's connection to the PARPay Service, Participating Location's violation or the violation by any of Participating Location's Authorized Users of the PARPay Terms, the violation of any rights of another by Participating Location or any of Participating Location's Authorized Users, or any act or omission of Participating Location or Participating Location's directors, officers, agents, representatives, contractors, Authorized Users, or employees.
Source: Item 17 — The following paragraph is added to the end of Item 17 of the Disclosure Document: (FDD pages 70–378)
What This Means (2025 FDD)
According to Dq Treat's 2025 Franchise Disclosure Document, a Participating Location is obligated to indemnify, defend, and hold PAR (and its parent companies, subsidiaries, and affiliates, along with their respective directors, officers, agents, co-branders, partners, representatives, contractors, and employees) harmless from any claim or demand, including reasonable attorneys' fees, made by any third party under specific circumstances. These circumstances include situations where the Participating Location's PARPay Data is illegal or infringes on a third party's Intellectual Property Rights.
This indemnification requirement also applies to the Participating Location's or its Authorized Users' use of the PARPay Service, the Participating Location's connection to the PARPay Service, or any violation of the PARPay Terms. Furthermore, it extends to any violation of the rights of another party by the Participating Location or its Authorized Users.
Finally, the Participating Location must indemnify PAR for any act or omission of the Participating Location or its directors, officers, agents, representatives, contractors, Authorized Users, or employees. This broad indemnification clause means that Dq Treat franchisees could be responsible for covering PAR's legal costs and damages in a wide array of situations stemming from the franchisee's operations or data handling related to the PARPay service.