Does the Kitchen Solvers franchisee's indemnification obligation arise from a breach of the franchise agreement?
Kitchen_Solvers Franchise · 2025 FDDAnswer from 2025 FDD Document
Notwithstanding the foregoing, in the event of expiration or termination of this Agreement, you will remain liable for your indemnification obligations specified in Subparagraph 10.B or under common law and other obligations pursuant to any applicable lease for your Business premises or otherwise, which by their very nature are intended to survive the expiration or termination of this Agreement.
Finally, you must comply with all noncompete covenants outlined in Subparagraph 10.D.
Source: Item 22 — Contracts (FDD page 49)
What This Means (2025 FDD)
According to Kitchen Solvers' 2025 Franchise Disclosure Document, even after the termination or expiration of the Franchise Agreement, a franchisee remains liable for their indemnification obligations. These obligations are specified in Subparagraph 10.B or under common law.
In practical terms, this means that even if the franchise agreement ends, whether through termination or expiration, the franchisee's responsibility to cover losses, damages, or liabilities continues under the conditions outlined in Subparagraph 10.B and general legal principles.
This extended liability also applies to other obligations, such as those related to any applicable lease for the business premises, which are intended to survive the agreement's end due to their nature. Additionally, the franchisee must continue to comply with the noncompete covenants detailed in Subparagraph 10.D, further extending their responsibilities beyond the agreement's term.