Against whom does a Canopy Lawn Care franchisee have recourse for vehicle warranties?
Canopy_Lawn_Care Franchise · 2025 FDDAnswer from 2025 FDD Document
THE VEHICLES ARE LEASED "AS IS," "WITH ALL FAULTS." All warranties made by any supplier, vendor and/or manufacturer of a Vehicle are hereby assigned by Lessor to Lessee for the applicable Term and Lessee's only remedy, if any, is against the supplier, vendor or manufacturer of the Vehicle.
Source: Item 23 — RECEIPT (FDD pages 55–199)
What This Means (2025 FDD)
According to Canopy Lawn Care's 2025 Franchise Disclosure Document, if a franchisee leases a vehicle, they must pursue warranty claims against the vehicle's supplier, vendor, or manufacturer, not against the lessor. Canopy Lawn Care assigns all vehicle warranties to the franchisee for the lease term. This means Canopy Lawn Care franchisees bear the risk related to vehicle condition, merchantability, and fitness for their intended purpose.
This arrangement is common in franchising, where franchisors often lease equipment but pass responsibility for warranties to the franchisee. The franchisee accepts the vehicle "AS IS" and "WITH ALL FAULTS." Therefore, a Canopy Lawn Care franchisee should carefully evaluate the vehicle's condition before accepting it.
Before signing the lease, a prospective Canopy Lawn Care franchisee should investigate the vehicle's warranty terms and the manufacturer's reputation. Understanding the warranty coverage and the manufacturer's reliability can help mitigate potential risks associated with vehicle repairs and maintenance during the lease term. This also means that the franchisee needs to maintain the vehicle according to manufacturer's instructions and warranty requirements.