Does acceptance of partial payment modify the Augusta Lawn Care Guaranty?
Augusta_Lawn_Care Franchise · 2025 FDDAnswer from 2025 FDD Document
No delay, waiver, omission or forbearance on the part of Augusta Lawn Care to exercise any right, option, duty, or power arising out of any breach of default by You under any of the terms, provisions, covenants, or conditions hereof shall constitute a waiver by Franchisor to enforce any such right, option, duty, or power as against You or as to subsequent breach or default by You. Subsequent acceptance by Augusta Lawn Care or any payments due to it hereunder shall not be deemed to be a waiver by Augusta Lawn Care of any preceding breach by You of any terms, provisions, covenants, or conditions of this Agreement.
Source: Item 23 — RECEIPTS (FDD pages 44–184)
What This Means (2025 FDD)
According to Augusta Lawn Care's 2025 Franchise Disclosure Document, the acceptance of partial payments does not constitute a waiver of any preceding breach of the franchise agreement. Specifically, the FDD states that subsequent acceptance of payments by Augusta Lawn Care does not mean that Augusta Lawn Care is waiving its rights regarding any prior violations of the agreement's terms by the franchisee. This protects Augusta Lawn Care's ability to enforce the full terms of the agreement, even if they have accepted payments after a breach occurred.
This clause is important for prospective Augusta Lawn Care franchisees because it clarifies that simply making payments, even if those payments are accepted, does not excuse any prior failures to comply with the franchise agreement. For example, if a franchisee fails to meet certain operational standards but continues to pay royalties, Augusta Lawn Care's acceptance of those royalties does not prevent them from later enforcing the operational standards or addressing the earlier breach.
This provision is fairly standard in franchise agreements, as it protects the franchisor's right to enforce compliance while still allowing them to receive payments. Franchisees should be aware that they cannot assume a breach is forgiven simply because payments are accepted. It is crucial to address any compliance issues promptly and seek clarification from Augusta Lawn Care regarding any potential breaches, rather than relying on the assumption that continued payments will resolve the matter.
In practical terms, this means an Augusta Lawn Care franchisee needs to ensure full compliance with all aspects of the franchise agreement at all times. If a franchisee is aware of a potential breach, they should proactively communicate with Augusta Lawn Care to seek a resolution and avoid the risk of future enforcement actions, even if payments are current. This proactive approach will help maintain a positive relationship with the franchisor and ensure the long-term success of the franchise.