When renewing a Clear Pest Pros franchise, is a general release required?
Clear_Pest_Pros Franchise · 2025 FDDAnswer from 2025 FDD Document
If you satisfy all of the other conditions to the awarding of a Renewal Term, you promise to sign the then-current franchise agreement and any ancillary agreements for Clear Pest Pros Businesses, which may include a different Royalty and/or Territory. You and we further promise to sign a mutual general release, in a form satisfactory to us, of any and all claims against either of us and our respective shareholders, officers, directors, employees, agents, successors, and assigns. Such requirement to sign a general release is subject to change in our sole discretion.
Notwithstanding any provision to the contrary, at our request, you will promise to upgrade and remodel the Clear Pest Pros Business at your sole expense to conform to the then-current Operations Manual (the completion of such upgrades shall be a condition of you receiving such Renewal Term). Further, you must submit proof to us that you have the right to operate the Clear Pest Pros Business at the Office Site for the Renewal Term.
Source: Item 22 — CONTRACTS (FDD pages 67–68)
What This Means (2025 FDD)
According to Clear Pest Pros's 2025 Franchise Disclosure Document, if a franchisee satisfies all other conditions for a renewal term, they must sign the then-current franchise agreement and any related ancillary agreements. These agreements may include different royalty and/or territory terms. Additionally, both the franchisee and Clear Pest Pros must sign a mutual general release, in a form satisfactory to Clear Pest Pros, which covers any and all claims against each other, including their respective shareholders, officers, directors, employees, agents, successors, and assigns. However, the requirement to sign a general release is subject to change at Clear Pest Pros's discretion.
In practical terms, this means that as a condition of renewing their franchise agreement, a Clear Pest Pros franchisee will likely be required to release Clear Pest Pros from any past, present, or future claims. This is a significant legal commitment, as it prevents the franchisee from suing Clear Pest Pros over any issues that may have occurred during the initial term of the franchise agreement. The franchisee should carefully review the general release with legal counsel to fully understand its implications.
Furthermore, the FDD includes an exhibit showing a sample of the general release required upon renewal. The sample agreement states that it is made between SAFER HOME SERVICES INTERNATIONAL, LLC (the franchisor) and the franchisee, referencing the original franchise agreement for operating a Clear Pest Pros business. This reinforces the requirement for a general release as part of the renewal process, although the franchisor retains the right to modify or waive this requirement.
Prospective franchisees should be aware of this requirement and factor it into their decision-making process. They should also inquire about any potential changes to the standard general release and understand the specific terms that will be in effect at the time of renewal. This will help them make an informed decision about whether to renew their franchise agreement with Clear Pest Pros.