Can Clear Pest Pros engage in activities not expressly prohibited in the Clear Pest Pros Franchise Agreement?
Clear_Pest_Pros Franchise · 2025 FDDAnswer from 2025 FDD Document
We retain, as we deem appropriate, the rights to:
- establish, and allow other Clear Pest Pros Businesses to establish, Clear Pest Pros Businesses at any location outside of the Territory, and inside the Territory, in the specific instances listed in this section. on any terms and conditions, but subject to the same restrictions upon their servicing in the Territory that you are subject to when servicing in their Territory. No Clear Pest Pros Business or Company Store advertise
in print or media in the Territory, or service customers within your Territory, (a) without your prior written consent, (b) unless such account is a NORA, or (c) unless you are not in compliance with your Franchise Agreement;
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- establish solicit, market to and build regional and national account relationships (NORA, as defined in 12.3), whose offices may be located in the Territory as is further outlined in the Franchise Agreement;
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- offer and sell services and products anywhere that do not comprise a part of the System and, in connection with this right, to exploit our Marks, name, reputation, and knowhow;
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- solicit and perform the Services in any geographic market using different Marks, including within the Territory. We do not operate a business or offer franchises that perform the Services under different marks at this time, nor do we have plans to at this time, however, we do reserve the right to do so in the future;
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- acquire businesses providing services similar to those provided under the System and to be acquired by such a business;
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- contact your customers who are delinquent in their payment of 90 days or more, initiate collection procedures on your behalf, take Royalties on Gross Sales collected and apply collection fees established in the Franchise Agreement; and
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- use and license to engage in any other activities not expressly prohibited in the Franchise Agreement.
Source: Item 12 — TERRITORY (FDD pages 49–53)
What This Means (2025 FDD)
According to Clear Pest Pros's 2025 Franchise Disclosure Document, Clear Pest Pros retains the right to engage in activities not expressly prohibited in the Franchise Agreement. This means that unless the agreement specifically forbids an action, Clear Pest Pros is generally free to pursue it.
This provision grants Clear Pest Pros significant flexibility in its business operations and strategic decisions. For a franchisee, this implies that Clear Pest Pros could potentially undertake new initiatives or ventures that are not explicitly addressed in the franchise agreement, which could impact the franchisee's business. It is important to note that Clear Pest Pros also has specific rights within the franchisee's territory, including establishing other Clear Pest Pros businesses under certain conditions, managing joint projects, and handling National or Regional Accounts (NORAs).
Clear Pest Pros also has the right to offer and sell services and products anywhere that do not comprise a part of the System and, in connection with this right, to exploit their Marks, name, reputation, and knowhow, as well as solicit and perform the Services in any geographic market using different Marks, including within the Territory. They also reserve the right to acquire businesses providing services similar to those provided under the System and to be acquired by such a business.
Given this broad latitude, prospective franchisees should carefully review the Franchise Agreement to understand what activities are expressly prohibited and consider the potential implications of Clear Pest Pros engaging in other ventures. It would be prudent to discuss with Clear Pest Pros their long-term strategic plans and how they might affect the franchise network.