Is the Fitstop franchisee responsible for claims of employment or joint employment?
Fitstop Franchise · 2024 FDDAnswer from 2024 FDD Document
the terms of this Agreement, in addition to any judgment entered in our favor, we shall be entitled to recover such reasonable attorneys' fees as may be allowed by the court together with court costs and expenses of litigation.
- 17.2 You agree to be solely responsible for the services and results of services performed at locations where services are performed by you and to hold harmless and indemnify us, including our officers, directors, trustees, shareholders, heirs, executors, administrators, attorneys, successors, assigns, principals, agents, servants, employees, consultants, representatives, parents, owners, brokers, affiliates, subsidiaries, and related entities ("Franchisor Parties"), from any and all claims arising from actions by you, the members you are servicing, or your employees, agents, or representatives including, but not limited to, claims of employment or joint employment.
- ©2024 Fitstop USA, Inc. 17.3 If Franchisor Parties shall be subject to any claim, demand, or penalty or become a party to any suit or other judicial or administrative proceeding by reason of any claimed act or omission by you
or your employees or agents, or by reason of any act occurring at the Premises or in connection with the Franchised Business, or by reason of an omission with respect to the business or operation of the Franchise, you shall indemnify and hold Franchisor Parties harmless against all judgments, settlements, penalties, and expenses, including attorneys' fees, court costs, and other expenses of litigation or adminis
Source: Item 23 — RECEIPTS (FDD pages 50–135)
What This Means (2024 FDD)
According to Fitstop's 2024 Franchise Disclosure Document, the franchisee is responsible for claims of employment or joint employment.
Specifically, the franchisee agrees to be solely responsible for the services and the results of those services performed at their Fitstop location. This includes holding Fitstop harmless and indemnifying them against any claims arising from actions by the franchisee, their members, employees, agents, or representatives. Crucially, this indemnification extends to claims of employment or joint employment.
This means that if someone claims they are an employee of Fitstop due to the franchisee's actions, the franchisee is responsible for defending and covering Fitstop against such claims. This clause highlights the importance of the franchisee's role as an independent contractor and their responsibility for managing their own employees and operations in compliance with employment laws. Fitstop also states that they will not provide franchisees with consultation related to employment practices.