When must a Mr. Sandless franchisee provide a Certificate of Insurance?
Mr_Sandless Franchise · 2025 FDDAnswer from 2025 FDD Document
You must provide us with a Certificate of Insurance before your Business opens and upon each renewal naming us and our respective officers, directors, employees and agents as an additional named insured.
- We should be named as an additional insured for ongoing operations as well as completed operations. This is accomplished by ISO forms CG2010 (7/04) and CG2037 (7/04) or equivalent.
- We must be named as an additional insured on a primary and non-contributory basis.
- Your insurance policies should waive all rights of subrogation against us.
- Failure to comply with our insurance requirements imposed is grounds for termination of the franchise agreement.
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 15–18)
What This Means (2025 FDD)
According to Mr. Sandless's 2025 Franchise Disclosure Document, a franchisee must provide a Certificate of Insurance before their business opens and upon each renewal. This certificate must name Mr. Sandless, along with its officers, directors, employees, and agents, as an additional named insured.
Mr. Sandless also requires that they be named as an additional insured for ongoing and completed operations, which is achieved through specific ISO forms (CG2010 (7/04) and CG2037 (7/04) or equivalent). Furthermore, Mr. Sandless must be named as an additional insured on a primary and non-contributory basis, and the franchisee's insurance policies should waive all rights of subrogation against Mr. Sandless.
Failure to comply with these insurance requirements can lead to termination of the franchise agreement. This underscores the importance of securing and maintaining adequate insurance coverage that meets Mr. Sandless's standards. Franchisees should carefully review these requirements with their insurance provider to ensure full compliance and avoid potential penalties.