Does the Mr. Sandless franchise agreement's indemnification clause remain in effect after the agreement expires or terminates?
Mr_Sandless Franchise · 2025 FDDAnswer from 2025 FDD Document
- 3.7 Survival.
This Agreement shall survive the Termination of the Franchise Agreement.
- 3.8 Governing Law.
This Agreement shall be governed by and construed under the laws of the Commonwealth of Pennsylvania, without regard to the application of Pennsylvania conflict of law rules.
(Signatures appear on the following page)-
25.2 Survival
Any provisions of this Agreement which may be reasonably interpreted to impose any obligation after termination or expiration hereof shall survive such termination or expiration and be binding upon the parties.
Source: Item 22 — CONTRACTS (FDD page 42)
What This Means (2025 FDD)
According to the 2025 Mr. Sandless Franchise Disclosure Document, the franchise agreement contains provisions that survive the termination of the agreement. Specifically, the "Internet Advertising, Social Media, Software and Telephone Listing Agreement" survives the termination of the Franchise Agreement.
This means that even after the franchise agreement ends, certain obligations and responsibilities of the franchisee, particularly those related to online presence and advertising, may continue. This could include requirements to transfer control of websites, social media accounts, and telephone listings to Mr. Sandless upon termination.
Additionally, any provisions of the agreement that can be reasonably interpreted to impose obligations after termination or expiration will remain binding on both parties. This ensures that certain responsibilities, such as those related to confidentiality or non-competition, continue even after the formal agreement has ended. Franchisees should carefully review the franchise agreement and related documents to understand which specific clauses survive termination and what their ongoing obligations will be.