Who is the Springhill Suites By Marriott franchisee obligated to defend, indemnify, and hold harmless?
Springhill_Suites_By_Marriott Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee agrees to defend, indemnify and hold harmless Marriott, its affiliates, and each of their respective current and former officers, directors, shareholders, agents, representatives and employees, and all other persons or entities acting on their behalf, from and against any and all actions, costs, claims, losses, expenses and/or damages, including attorney's fees, asserted by third parties, arising out of or resulting from the performance of the Services or any other action contemplated by this Agreement.
Source: Item 17 — , "Renewal, Termination, Transfer, and Dispute Resolution," is amended by the addition of the following paragraph(s) at the conclusion of the Item: (FDD pages 285–553)
What This Means (2025 FDD)
According to the 2025 Springhill Suites By Marriott Franchise Disclosure Document, the franchisee is obligated to defend, indemnify, and hold harmless Marriott, its affiliates, and their respective current and former officers, directors, shareholders, agents, representatives, and employees. This obligation also extends to all other persons or entities acting on their behalf.
This means that the franchisee is responsible for protecting these parties from any actions, costs, claims, losses, expenses, and/or damages, including attorney's fees, that arise from the franchisee's performance of services or any other action contemplated by the franchise agreement. This is a significant responsibility, as it could potentially expose the franchisee to substantial financial liabilities depending on the nature and extent of any claims.
Such indemnification clauses are standard in franchise agreements. Prospective Springhill Suites By Marriott franchisees should carefully review this section of the agreement with legal counsel to fully understand the scope of their indemnification obligations and to assess the potential risks involved. It is important to evaluate what types of actions could trigger this clause and to ensure adequate insurance coverage is in place to mitigate potential financial exposure.