; and (B) notwithstanding subparagraph (A), be personally responsible for 10 percent of any damages, civil penalties, or other restitution or fees assessed against the employer for the violations, with the employer responsible for not more than 90 percent. (2) No reimbursement An employer may not refund in any way any amounts paid by a shareholder under paragraph (1). . 203. Franchisors (a) Fair Labor Standards Act of 1938 (1) In general Section 3(d) of the Fair Labor Standards Act of 1938 ( 29 U.S.C. 203(d) ), as amended by section 202(a)(1), is further amended by adding at the end the following: (7) Franchisors and franchisees A franchisor shall also be responsible for the rights and protections of this Act with regard to an employee, in any case where a franchisee of the franchisor is responsible for the rights and protections of this Act for the employee. . (2) Indemnification Section 16 of the Fair Labor Standards Act of 1938, as amended by section 202(c)(1), is further amended by adding at the end the following: (i) Franchisees and Franchisors (1) Indemnification by franchisor An employer or entity that is found to be in violation of this Act and is a franchisee shall have the right to indemnification as described in paragraph (2) from the franchisor, in any case where the violation was— (A) at the behest of the franchisor; (B) at the direction of the franchisor; (C) pursuant to any policies, agreements, or contractual obligations emanating from the franchisor; or (D) due to other direct or indirect control or pressure from the franchisor. (2) Process for and type of indemnification Indemnification under paragraph (1)— (A) may be sought by a franchisee in any court of competent jurisdiction