Is the Clear Pest Pros franchisor obligated to assume obligations under the lease?
Clear_Pest_Pros Franchise · 2025 FDDAnswer from 2025 FDD Document
Neither you nor we will make any express or implied agreements, warranties, guarantees, or representations or incur any debt in the name of or on behalf of the other party, or represent that the relationship between you and us is other than that of franchisor and franchisee. We do not assume any liability, and will not be deemed liable for any agreements, representations, or warranties made by you which are not expressly authorized under this Agreement, for any damages to any person or property which directly or indirectly arise from or relate to your operation of the Clear Pest Pros Business authorized by this Agreement.
Source: Item 22 — CONTRACTS (FDD pages 67–68)
What This Means (2025 FDD)
Based on the 2025 Franchise Disclosure Document, Clear Pest Pros franchisees operate as independent contractors. As such, the franchisor, Clear Pest Pros, does not assume liability for the franchisee's debts or obligations unless explicitly stated in the franchise agreement.
According to the FDD, neither Clear Pest Pros nor the franchisee can incur debt or make agreements on behalf of the other party, and the franchisor is not liable for unauthorized agreements made by the franchisee. This reinforces the independent contractor relationship, where the franchisee is responsible for their own business obligations.
While the FDD stipulates that a transfer of the franchise may require the consent of lessors under existing leases, this does not imply that Clear Pest Pros assumes the lease obligations. It simply ensures that the transfer complies with any existing lease agreements. A prospective franchisee should carefully review the franchise agreement and consult with legal counsel to fully understand their obligations and the extent of Clear Pest Pros's responsibilities.