Who is responsible for the payment of all taxes in connection with the business conducted by an Eos Worldwide franchisee?
Eos_Worldwide Franchise · 2025 FDDAnswer from 2025 FDD Document
Program.
- (c) You will send surveys to your Clients to evaluate your performance with your Clients in such form and at such intervals as we designate in the Operations Manual and that are conducted in compliance with applicable laws.
- (d) You will include the terms of the Client Satisfaction Program in any engagement agreements you sign with any Client.
- (e) We reserve the right to contact your Clients directly for the purposes of determining their satisfaction with EOS.
(f) We may modify, change, eliminate or amend the terms of the Client Satisfaction Program or other network programs on thirty (30) days' notice to you.
10.11 Payment of Debts.
You are solely responsible for selecting, retaining and paying your Personnel; the payment of all invoices for the purchase of goods for use in the Franchise; and determining whether, and on what terms, to obtain any financing or credit which you deem advisable or necessary for the conduct of the Franchise. You shall pay all current obligations and liabilities to suppliers, lessors and creditors on a timely basis and indemnify us in the event that we elect to pay any of your obligations in order to preserve the relationship between Approved Suppliers and EOS Franchise System franchisees. You shall make prompt payment of all local, state, provincial, federal, national or international taxes, including individual and corporate taxes, sales and use taxes, franchise taxes, goods and services taxes, gross receipts taxes, employee withholding taxes and other remittances, FICA taxes, and personal property and real estate taxes, arising from your operation of the Franchise. You shall indemnify us in the event that we are held responsible for these taxes and other amounts.
10.12 Notification of Legal Proceedings and Crisis Management Events.
Source: Item 23 — RECEIPTS (FDD pages 74–246)
What This Means (2025 FDD)
According to the 2025 Eos Worldwide Franchise Disclosure Document, franchisees are responsible for paying all taxes related to their franchise's operation. This includes local, state, provincial, federal, national, or international taxes. These taxes encompass individual and corporate income taxes, sales and use taxes, franchise taxes, goods and services taxes, gross receipts taxes, employee withholding taxes and other remittances, FICA taxes, and personal property and real estate taxes.
Eos Worldwide franchisees must make prompt payments of all these taxes. Furthermore, franchisees are obligated to indemnify Eos Worldwide if the franchisor is held responsible for any of the franchisee's tax obligations. This means the franchisee would have to reimburse Eos Worldwide for any taxes they are forced to pay on the franchisee's behalf.
The FDD also specifies that Eos Worldwide will not have any liability for sales, use, service, occupation, excise, gross receipts, income, payroll, property, withholding, or other taxes related to the franchisee's business, with the exception of any transfer taxes that Eos Worldwide is legally required to collect from the franchisee for purchases from them. The document defines 'taxes' broadly to include any present or future taxes, levies, imposts, duties, or other charges, including interest or penalties, imposed by any government on the operation of the franchised business.