For Augusta Lawn Care franchisees in Maryland, when are the initial fees due?
Augusta_Lawn_Care Franchise · 2025 FDDAnswer from 2025 FDD Document
AMENDMENT TO THE FRANCHISE DISCLOSURE DOCUMENT REQUIRED BY THE STATE OF MARYLAND
As to franchises governed by the Maryland Franchise Registration and Disclosure Law, if any of the terms of the Disclosure Document are inconsistent with the terms below, the terms below control.
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- The Office of the Attorney General of the State of Maryland requires us to defer payment of the initial franchise fee and other initial payments owed by Franchisee to Augusta Lawn Care under until Augusta Lawn Care has completed its pre-opening obligations under the Agreement, and Franchisee has commenced operations. Therefore, and notwithstanding Section 6.1, Section 6.2, or any other provision of the Agreement, all initial fees will be deferred until after Augusta Lawn Care's initial obligations to Franchisee are complete, and Franchisee has commenced operations.
Source: Item 23 — RECEIPTS (FDD pages 44–184)
What This Means (2025 FDD)
According to Augusta Lawn Care's 2025 Franchise Disclosure Document, the standard policy for initial franchise fee payments is modified for franchisees in Maryland. Typically, the initial franchise fee is due when the Franchise Agreement is signed. However, for franchises governed by Maryland law, the payment of all initial fees is deferred.
Specifically, Maryland law requires Augusta Lawn Care to postpone the collection of the initial franchise fee and any other initial payments until Augusta Lawn Care has fulfilled its pre-opening obligations as outlined in the Franchise Agreement. This means the franchisee will not be required to pay these fees upfront.
The fees are only due after Augusta Lawn Care has completed its pre-opening obligations and the franchisee has commenced operations. This amendment ensures that Maryland franchisees do not pay initial fees until Augusta Lawn Care has provided the agreed-upon initial services and support, and the franchisee has started running their Augusta Lawn Care business.