When is the Indemnification fee due to Pump It Up?
Pump_It_Up Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Fee | Amount | Due Date | Remarks |
|---|---|---|---|
| Indemnification (1) | Fines, losses, damages, costs and expenses we incur. | Upon demand. | Payable if we incur any losses due to your breach of the Franchise Agreement or any other action or inaction by you or any other person relating to your Franchise. |
Source: Item 6 — OTHER FEES (FDD pages 15–21)
What This Means (2025 FDD)
According to Pump It Up's 2025 Franchise Disclosure Document, the Indemnification fee is due upon demand. This means that Pump It Up can request this fee from the franchisee whenever the circumstances requiring indemnification arise.
The Indemnification fee covers fines, losses, damages, costs, and expenses that Pump It Up incurs. This fee is payable if Pump It Up experiences any losses due to the franchisee's breach of the Franchise Agreement. It also applies to any action or inaction by the franchisee or any other person relating to the franchise.
In practical terms, this means a Pump It Up franchisee could be required to pay this fee at any time if their actions, or the actions of someone connected to their franchise, lead to losses or expenses for Pump It Up. It is important for a prospective franchisee to understand the terms of the Franchise Agreement to minimize the risk of incurring this fee. Franchisees should ensure they operate their business in compliance with all applicable laws and the franchise agreement to avoid actions that could trigger indemnification.