What is the deadline for the Canopy Lawn Care lessee to pay amounts owed for a Totaled Vehicle?
Canopy_Lawn_Care Franchise · 2025 FDDAnswer from 2025 FDD Document
In the event of a Casualty Occurrence to a Vehicle, Lessee shall give Lessor prompt notice of the Casualty Occurrence and thereafter will place the applicable Vehicle in good repair, condition and working order; provided, however, that if the applicable Vehicle is determined by Lessor to be lost, stolen, destroyed or damaged beyond repair (a "Totaled Vehicle"), Lessee agrees to pay Lessor no later than the date thirty (30) days after the date of the Casualty Occurrence the amounts owed under Sections 3(b) and 3(c) with respect to such Totaled Vehicle.
Upon such payment, this Agreement will terminate with respect to such Totaled 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 vehicle is deemed a "Totaled Vehicle" by the Lessor (lost, stolen, destroyed, or damaged beyond repair), the Canopy Lawn Care franchisee (Lessee) must pay the amounts owed under Sections 3(b) and 3(c) of the agreement no later than 30 days after the date of the casualty occurrence. Upon this payment, the agreement terminates with respect to the totaled vehicle.
This means that a Canopy Lawn Care franchisee is responsible for the risk of loss or damage to any vehicle. If a vehicle is totaled, the franchisee has a limited time frame to settle any outstanding financial obligations related to that vehicle.
It is important for a prospective Canopy Lawn Care franchisee to understand the financial implications of a vehicle being totaled, including the amounts owed under Sections 3(b) and 3(c), and to ensure they have adequate insurance coverage to mitigate this risk. The franchisee should clarify with Canopy Lawn Care what specific calculations are used to determine the amounts owed in such a situation.