How long does Augusta Lawn Care have to exercise its option to purchase the Augusta Lawn Care business after termination?
Augusta_Lawn_Care Franchise · 2025 FDDAnswer from 2025 FDD Document
Care Business, to Augusta Lawn Care.
- (f) You shall maintain all records required by Augusta Lawn Care under this Agreement for a period of not less than five (5) years after final payment of any amounts You owe to Augusta Lawn Care when this Agreement is terminated (or such longer period as required by applicable law).
- (g) Augusta Lawn Care, or its designee, has an option to purchase the business from You, including but not limited to any or all of the physical assets of the Augusta Lawn Care Business, including its equipment, supplies and inventory, during a period of sixty (60) days following the effective date of termination. If Augusta Lawn Care notifies You that it (or its designee) wishes to purchase the assets of the business from You following Termination of this Agreement, You must immediately surrender possession of the Augusta Lawn Care Business to Augusta Lawn Care or Its designee upon demand. Augusta Lawn Care or its designee will operate the Augusta Lawn Care Business at its expense pending determination of the purchase price as set forth below. The equipment, supplies, and inventory will be valued as follows:
- i. The lower of depreciated value or fair market value of the equipment supplies and inventory; and
ii.
Source: Item 23 — RECEIPTS (FDD pages 44–184)
What This Means (2025 FDD)
According to the 2025 Augusta Lawn Care Franchise Disclosure Document, Augusta Lawn Care has an option to purchase the franchisee's business within a specific timeframe after termination. Augusta Lawn Care, or its designee, has 60 days following the effective date of termination to exercise this option.
To exercise this option, Augusta Lawn Care must send written notice to the franchisee within 30 days after termination of the agreement, indicating its intent to purchase the business. If the parties cannot agree on a purchase price within this initial 60-day period, the option period may be extended by up to 15 business days to allow for an independent appraisal. This appraisal is conducted by an appraiser mutually agreed upon by both parties.
If an appraiser cannot be agreed upon, each party will appoint their own appraiser, and those two appraisers must then agree on a third appraiser within 90 days after termination. This third appraiser will determine the final purchase price for the physical assets of the Augusta Lawn Care business, and this determination will be binding on both Augusta Lawn Care and the franchisee.