Does the Augusta Lawn Care definition of 'Related Party' include companies in which the franchisee has an interest?
Augusta_Lawn_Care Franchise · 2025 FDDAnswer from 2025 FDD Document
"Related Party" or "Related Parties" means persons and companies affiliated with Augusta Lawn Care or You, as the context indicates, including, but not limited to, owners (as defined herein), general partners, limited partners, shareholders, or members, owning an interest in (i) Augusta Lawn Care or in You; (ii) corporations or limited liability companies in which Augusta Lawn Care or You have an interest; (iii) corporations or limited liability companies in which any person or entity owning an interest in You also has an interest; or (iv) officers, directors, members, or agents of Augusta Lawn Care or of You
Source: Item 23 — RECEIPTS (FDD pages 44–184)
What This Means (2025 FDD)
According to the 2025 Augusta Lawn Care Franchise Disclosure Document, the definition of 'Related Party' includes companies in which the franchisee has an interest. Specifically, the definition encompasses persons and companies affiliated with Augusta Lawn Care or the franchisee.
This definition extends to owners, general partners, limited partners, shareholders, or members who have an interest in either Augusta Lawn Care or the franchisee. It also includes corporations or limited liability companies in which Augusta Lawn Care or the franchisee has an interest. Furthermore, the definition covers corporations or limited liability companies in which any person or entity owning an interest in the franchisee also has an interest.
In practical terms, this means that any entity closely tied to the franchisee through ownership or investment is considered a 'Related Party'. This is a common practice in franchising, as it allows the franchisor to monitor and manage potential conflicts of interest or financial relationships that could impact the franchise system. Franchisees should be aware of this broad definition and how it may affect their business dealings and relationships.