What reports must a Canopy Lawn Care franchisee furnish to the franchisor?
Canopy_Lawn_Care Franchise · 2025 FDDAnswer from 2025 FDD Document
r reserves the right to require, in its sole discretion, that Franchisee remit the Royalty Fees or any other sums due to Franchisor under this Agreement weekly.
- 6.12 If Franchisee fails to report or record a sale using the designated systems, then in addition to all other remedies which may be available to Franchisor, Franchisee must pay Franchisor a unreported or unrecorded sale fine equal to 2% of the unrecorded or unreported sale if Franchisee reports the unrecorded or unreported sale within 30 days of billing the customer (plus the regular Royalty Fee due on
the sale), and/or 100% of the unrecorded or unreported sale if Franchisee does not report the unrecorded or unreported sale within 30 days of billing the customer, plus any audit expenses.
6.13 Franchisee agrees that, during the Initial Term, any Interim Period, and for 3 years after the expiration and termination of this Agreement, Franchisee shall provide Franchisor with Franchisee's home (or business location, if other than Franchisee's home) address and telephone number.
**7.
Source: Item 22 — CONTRACTS (FDD page 55)
What This Means (2025 FDD)
According to the 2025 Canopy Lawn Care Franchise Disclosure Document, franchisees must report sales using the designated systems. Failure to do so results in a fine. If a franchisee reports an unrecorded or unreported sale within 30 days of billing the customer, they must pay a fine equal to 2% of the unrecorded or unreported sale, in addition to the regular Royalty Fee due on the sale. If the unrecorded or unreported sale is not reported within 30 days of billing, the fine increases to 100% of the unrecorded or unreported sale, plus any audit expenses.
Additionally, during the Initial Term, any Interim Period, and for three years after the expiration or termination of the Franchise Agreement, franchisees must provide Canopy Lawn Care with their home (or business location, if other than the franchisee's home) address and telephone number. This ensures Canopy Lawn Care can maintain contact with the franchisee even after the agreement ends, for a limited time.
Furthermore, if a franchisee does not report or record a sale using the designated systems, they may be subject to additional remedies available to Canopy Lawn Care, highlighting the importance of accurate and timely reporting. Canopy Lawn Care also requires franchisees to provide corporate documents and other proof of compliance immediately upon request, ensuring adherence to the franchise agreement and legal requirements.