What happens to the rights to the Clear Pest Pros Franchise Agreement upon termination?
Clear_Pest_Pros Franchise · 2025 FDDAnswer from 2025 FDD Document
Divert or attempt to divert any business or customer of the Clear Pest Pros Business to any competitor, by direct or indirect inducement or otherwise, or do or perform, directly or indirectly, any other act injurious or prejudicial to the goodwill associated with the Marks or the System.
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- After the Term of the Franchise Agreement. For a period of 24 months from the time of expiration or termination of this Agreement, you and your owners and, if applicable, your Designated General Manager, shall not: (a) engage as an owner, shareholder, partner, director, officer, employee, consultant, salesperson, representative, or agent or in any other capacity in any business offering pest management for all manner of ants, spiders, roaches, stinging pests, flying pests and rodents on a recurring and/or one time basis, and other related services to residential and commercial markets, (b) solicit business from Customers of your former Clear Pest Pros Business or contact any of our supplies or vendors for any competitive business purpose, or (d) divert or attempt to divert any business or Customer of the Clear Pest Pros Business to any competitor, by direct or indirect inducement or otherwise, or do or perform, directly or indirectly, any other act injurious or prejudicial to the goodwill associated with the Marks or the System or engage in any business relationship with any contacts with Customers or former Customers of the Clear Pest Pros Business, whether respect to collection of accounts re
Source: Item 22 — CONTRACTS (FDD pages 67–68)
What This Means (2025 FDD)
According to the 2025 Clear Pest Pros Franchise Disclosure Document, after the termination or expiration of the Franchise Agreement, the franchisee is restricted from certain activities. For a period of 24 months, the franchisee, their owners, and any Designated General Manager are prohibited from engaging in any business offering pest management services for various pests to residential and commercial markets. This includes acting as an owner, shareholder, partner, director, officer, employee, consultant, salesperson, representative, or agent in any capacity.
Additionally, the franchisee is barred from soliciting business from customers of their former Clear Pest Pros Business or contacting Clear Pest Pros's suppliers or vendors for any competitive business purpose. They are also prohibited from diverting or attempting to divert any business or customer of the Clear Pest Pros Business to any competitor through direct or indirect means. Furthermore, they cannot perform any act that is injurious or prejudicial to the goodwill associated with the Clear Pest Pros Marks or the System.
These restrictions also extend to engaging in any business relationship with contacts, customers, or former customers of the Clear Pest Pros Business, particularly concerning the collection of accounts receivable. These post-termination restrictions are designed to protect Clear Pest Pros's business interests, customer relationships, and proprietary information, and are a common practice in franchising to prevent unfair competition from former franchisees.