How will Canopy Lawn Care provide reasonable notification of the time and place of any sale of Collateral?
Canopy_Lawn_Care Franchise · 2025 FDDAnswer from 2025 FDD Document
Reasonable notification of the time and place of any sale shall be satisfied by mailing to Franchisee pursuant to the notice provisions set forth below.
- 18.6 This Agreement shall be deemed a Security Agreement and Financing Statement.
This Agreement may be filed for record in the real estate records of each county in which the Collateral, or any part thereof, is situated and may also be filed as a Financing Statement in the counties or in the office of the Secretary of State, as appropriate, in respect of those items of Collateral of kind and character defined in the subject to the applicable provisions of the Uniform Commercial Code as in effect in the appropriate jurisdiction.
19. NOTICES
Any notice of default and all notices or other communications required or permitted to be given or made pursuant to any of the provisions of this Agreement shall be deemed to have been duly given or made for all purposes if made in writing and (a) hand delivered, (b) sent by a nationally recognized overnight courier or (c) sent by electronic mail, as follows:
Source: Item 22 — CONTRACTS (FDD page 55)
What This Means (2025 FDD)
According to Canopy Lawn Care's 2025 Franchise Disclosure Document, reasonable notification of the time and place of any sale of collateral will be satisfied by mailing the notification to the franchisee, adhering to the notice provisions outlined in the franchise agreement. This means Canopy Lawn Care will inform the franchisee about the details of the sale through written communication sent via hand delivery, nationally recognized overnight courier, or electronic mail.
This is important for a prospective franchisee because it ensures they will be informed about any potential sale of their assets (referred to as "Collateral") that are used as security for their obligations to Canopy Lawn Care. The collateral includes vehicles, accounts, credit card receivables, cash, equipment, and franchise rights of the Lawn Care Business. Knowing the time and place of the sale allows the franchisee to take appropriate actions to protect their interests.
The notice provisions require that any notice of default and all notices or other communications required or permitted to be given or made pursuant to any of the provisions of this Agreement shall be deemed to have been duly given or made for all purposes if made in writing and (a) hand delivered, (b) sent by a nationally recognized overnight courier or (c) sent by electronic mail. This ensures that the franchisee receives adequate and timely notice, allowing them to understand their rights and obligations in the event of a default and subsequent sale of collateral.
It is important for a prospective Canopy Lawn Care franchisee to understand the conditions under which the franchisor can sell the collateral and the implications of such a sale. This includes understanding what constitutes a default, the franchisee's rights and obligations upon default, and the methods by which Canopy Lawn Care will communicate important information regarding the sale of collateral.