What is the legal entity's responsibility regarding the use of the 'Clear Pest Pros' name?
Clear_Pest_Pros Franchise · 2025 FDDAnswer from 2025 FDD Document
individually, jointly and severally, by all the terms of this Agreement including, without limitation, the restrictions on assignment contained herein. The personal guaranty shall be in the form attached hereto as Exhibit A-3 or in such other form as we may from time to time prescribe.
- c. The legal entity shall not use the name "Clear Pest Pros" or any other Mark, or any name deceptively similar thereto, except to reflect its franchise relationship with us. Neither the legal entity nor any of its owners may issue or sell, or offer to issue or sell, any securities of the legal entity or an affiliate of the legal entity, regardless of whether such sale or offer would be required to be registered pursuant to the provisions of the Securities Act of 1933, as amended, or the securities laws of any other jurisdiction, without obtaining our prior written consent, which is in our sole discretion, and complying with all of our requirements and restrictions concerning use of information about us.
- d.
Source: Item 22 — CONTRACTS (FDD pages 67–68)
What This Means (2025 FDD)
According to Clear Pest Pros' 2025 Franchise Disclosure Document, if a franchisee is a legal entity such as a partnership, LLC, or corporation, it has specific responsibilities regarding the use of the Clear Pest Pros name. The legal entity cannot use the name "Clear Pest Pros" or any confusingly similar name, except to indicate its franchise relationship with Clear Pest Pros. This means the franchisee's legal business name must reflect that it is a franchisee of Clear Pest Pros.
This restriction ensures that the public understands the relationship between the franchisee's business and the Clear Pest Pros brand. It prevents the legal entity from creating the impression that it owns the Clear Pest Pros system or is an independent entity unrelated to the franchise.
Furthermore, the legal entity is prohibited from issuing or selling any securities using information about Clear Pest Pros without prior written consent from Clear Pest Pros. This protects Clear Pest Pros from unauthorized use of its brand and information in financial activities. The legal entity must also provide Clear Pest Pros with a list of all stakeholders, their percentage interests, and the number of shares they own upon execution of the Franchise Agreement and any subsequent transfers.