Does the 1-800-GOT-JUNK? franchise agreement address the handling of 'Trust Funds'?

According to the 2025 1-800-GOT-JUNK? Franchise Disclosure Document, the franchise agreement explicitly states that the Sales, Marketing and Technology Fund is not to be considered a trust fund. Specifically, the agreement ensures that franchisees do not have any proprietary rights to the fund, nor does it constitute a trust fund in any way.

This means that 1-800-GOT-JUNK? franchisees should not expect to have control over how the Sales, Marketing and Technology Fund is managed or distributed. The franchisor has sole discretion over the fund's administration, including the ability to use its affiliates to assist with the fund's management. Furthermore, the franchisor is not obligated to ensure that each franchisee benefits directly or proportionally from the fund.

This arrangement carries implications for prospective franchisees. While franchisees contribute to the Sales, Marketing, and Technology Fund, they have no guarantee of receiving direct benefits. The franchisor has the flexibility to spend more or less than the aggregate contributions in any given year and can even borrow from its affiliates for the fund. Franchisees are essentially contributing to a general marketing and technology pool managed at the discretion of 1-800-GOT-JUNK?, with no legal recourse to influence its use.