For Clear Pest Pros franchises in Illinois, what law governs the agreement and where will all litigation be commenced?
Clear_Pest_Pros Franchise · 2025 FDDAnswer from 2025 FDD Document
A Surety Bond has been obtained by Franchisor to assure its financial capability; the bond is on file with the Office of the Illinois Attorney General. This financial assurance requirement was imposed by the Office of the Illinois Attorney general due to Franchisor's financial condition. Item 5 of the Franchise Disclosure Document and Section 2 of the Franchise Agreement are amended accordingly.
Source: Item 22 — CONTRACTS (FDD pages 67–68)
What This Means (2025 FDD)
According to the 2025 Clear Pest Pros Franchise Disclosure Document, a Surety Bond has been obtained by Clear Pest Pros and is on file with the Office of the Illinois Attorney General. The financial assurance requirement was imposed by the Office of the Illinois Attorney general due to Franchisor's financial condition. This bond assures Clear Pest Pros' financial capability.
This means that Clear Pest Pros, due to its financial condition, was required to obtain a surety bond to assure its financial capability to operate as a franchisor in Illinois. The bond is on file with the Illinois Attorney General's office, which a prospective franchisee could consult.
This requirement is specific to Illinois due to Clear Pest Pros' financial condition. It serves as a protection for franchisees in Illinois, ensuring that Clear Pest Pros has the financial means to meet its obligations. Item 5 of the Franchise Disclosure Document and Section 2 of the Franchise Agreement are amended accordingly.