conditional

Under what condition might Clear Pest Pros require a Designated Manager for a Clear Pest Pros Business?

Clear_Pest_Pros Franchise · 2025 FDD

Answer from 2025 FDD Document

You must at all times faithfully, honestly, and diligently perform your obligations under the Franchise Agreement. Except as stated herein, you must designate at least one managing owner (the "Managing Owner") who will be our primary individual contact with your Clear Pest Pros Business and who we will approve in our sole discretion. A Managing Owner may, in our sole discretion, serve as the Managing Owner of more than one Clear Pest Pros Business that is owned by you; provided, however, that we may, in our sole discretion, require you to designate a person who will serve as the primary individual contact for this Clear Pest Pros Business (the "Designated Manager"). We must approve of the Designated Manager in writing, which we may grant in our sole discretion. The Managing Owner and, if applicable, the Designated Manager, must successfully complete our JumpStart and Initial Training Programs as described in and required by the Franchise Agreement. The Designated Manager is not required to have an ownership interest in the Clear Pest Pros Business. The Designated Manager must sign our prescribed form of confidentiality and non-compete agreement. The Managing Owner or, if applicable, the Designated Manager must continuously exert their full-time and best efforts to manage, promote and enhance the Clear Pest Pros Business, and such other Clear Pest Pros Businesses as we permit in our sole discretion.

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

What This Means (2025 FDD)

According to Clear Pest Pros's 2025 Franchise Disclosure Document, while a Managing Owner is typically the primary contact for a Clear Pest Pros Business, Clear Pest Pros retains the discretion to require the franchisee to designate another person as the primary individual contact, called the "Designated Manager." Clear Pest Pros must approve this Designated Manager in writing, a decision they may grant at their sole discretion.

The Designated Manager does not need to have an ownership stake in the Clear Pest Pros Business, but they must sign a confidentiality and non-compete agreement. The Designated Manager, like the Managing Owner, must dedicate their full-time efforts to managing and promoting the Clear Pest Pros Business. They are also required to complete the JumpStart and Initial Training Programs.

If a Designated General Manager leaves their position, the franchisee must find a replacement within ten days and get written approval from Clear Pest Pros. The successor must then attend the next available Initial Training. If the successor fails the training, the franchisee can appoint one more person, who also must pass the Initial Training. Failure of the second successor to complete the training successfully constitutes a default of the Franchise Agreement and may lead to termination.

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.