factual

Can Clear Pest Pros require a franchisee to pay royalties by means other than automatic debit?

Clear_Pest_Pros Franchise · 2025 FDD

Answer from 2025 FDD Document

We can require you to pay the Royalty by means other than automatic debit (e.g., by check) whenever we deem appropriate, and you must comply with our payment instructions.

Source: Item 22 — CONTRACTS (FDD pages 67–68)

What This Means (2025 FDD)

According to Clear Pest Pros' 2025 Franchise Disclosure Document, Clear Pest Pros can require franchisees to pay royalties through methods other than automatic debit. While the standard procedure involves automatic debits from the franchisee's account, Clear Pest Pros retains the right to request royalty payments via alternative methods such as checks.

This provision provides Clear Pest Pros with flexibility in managing royalty payments. It allows them to accommodate situations where automatic debit might not be feasible or appropriate. For instance, if there are issues with the franchisee's bank account or if Clear Pest Pros deems it necessary for other reasons, they can request payment by check or another method.

For a prospective franchisee, this means being prepared to comply with Clear Pest Pros' payment instructions, even if it deviates from the standard automatic debit system. Franchisees should ensure they have the capability to make royalty payments through various means to avoid any potential disruptions or penalties. Understanding and adhering to these payment terms is crucial for maintaining a good standing with Clear Pest Pros and avoiding late fees or other financial repercussions.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.