Under what circumstances does Augusta Lawn Care have the right to procure insurance on behalf of the franchisee?
Augusta_Lawn_Care Franchise · 2025 FDDAnswer from 2025 FDD Document
Should You, for any reason, fail to procure or maintain the insurance required by this Agreement, as such requirements may be revised from time-to-time by Augusta Lawn Care in the Manual or otherwise in writing, Augusta Lawn Care shall have the right and authority (but not the obligation) to procure and maintain such insurance in Your name and to charge same to You, which charges, together with Our reasonable expenses in so acting, shall be payable by You immediately upon notice. The foregoing remedies shall be in addition to any other remedies Augusta Lawn Care may have under this Agreement, or at law or in equity.
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 the right, but not the obligation, to procure and maintain insurance in the franchisee's name if the franchisee fails to do so. This failure can occur for any reason. The insurance requirements are those outlined in the Franchise Agreement, and Augusta Lawn Care can revise these requirements periodically through updates in the Manual or other written communication.
If Augusta Lawn Care chooses to procure insurance on behalf of the franchisee, the franchisee will be charged for the cost of the insurance, along with Augusta Lawn Care's reasonable expenses for arranging it. These charges are payable immediately upon notice from Augusta Lawn Care.
This right to procure insurance is in addition to any other remedies that Augusta Lawn Care may have under the Franchise Agreement, at law, or in equity. This means that Augusta Lawn Care's ability to obtain insurance for the franchisee does not limit their ability to pursue other legal or contractual remedies for the franchisee's failure to maintain adequate insurance.