Other Publications

Article 18: Obligation to maintain an insurance policy

18.1 A²⁴The Franchisee shall subscribe for and maintain with a reputable insurance company to be approved by the Franchisor an all-risk insurance policy naming the Franchisor as additional insured subject to such minimum sums insured and other conditions as may be set out in the Manual relating but not limited to the following:

1. liability in respect of staff and third parties;

2. damage or destruction to the Premises; and

3. such other insurance as may be specified in the Manual.

18.1 B The Franchisee shall subscribe and maintain such standard insurance as the Franchisor shall have arranged for its franchisees as the same is specified in the Manual.

18.2 The Franchisee shall deliver to the Franchisor a photocopy of such insurance policy and all renewals.

18.3 The Franchisee shall promptly pay all premiums required to be paid under the said insurance policy and shall immediately deliver to the Franchisor evidence of such payment.

18.4 Such policy shall mention the Franchisor’s interest and stipulate that the Franchisor is to receive not less than ____ days’ notice of cancellation.

²⁵18.5 Should the Franchisee receive any indemnity by reason of a claim for loss of profits, the Franchisee shall forward to the Franchisor _________ % (_______ per cent) of such indemnity by way of contribution to the loss of income that the Franchisor incurs as a result thereof.

---

---