To what extent is an Epcon Communities franchisee required to indemnify the franchisor?

According to Epcon Communities' 2025 Franchise Disclosure Document, franchisees have specific obligations to indemnify the franchisor under certain circumstances. Franchisees must defend, indemnify, and hold Epcon Communities, its affiliates, directors, employees, and agents harmless from any liabilities, costs, and expenses, including reasonable attorneys' fees, if the franchisee breaches Sections 11 and/or 12 of the Franchise Agreement. These sections likely cover aspects of the franchise agreement that the franchisee is responsible for upholding.

Additionally, the franchisee is required to indemnify and hold Epcon Communities harmless from any claims that Epcon Communities damaged property while removing or obliterating the franchisor's marks. This means that if Epcon Communities needs to remove its branding or trademarks from a franchisee's location (perhaps due to termination or expiration of the agreement), the franchisee is responsible for covering any claims that arise from property damage during this process.

It is important to note that for franchisees governed by Minnesota law, certain restrictions apply. Epcon Communities may seek injunctive relief, but cannot require the franchisee to consent to it or waive rights provided under Minnesota Rule 2860.4400J. Furthermore, the requirement of a bond for injunctive relief will be determined by the court. These stipulations highlight that the extent of indemnification may vary based on local laws and regulations, and franchisees should be aware of the specific legal protections afforded to them in their jurisdiction.