Under what circumstances related to bankruptcy can the Deck Medic franchise agreement be terminated?

According to the 2024 Deck Medic Franchise Disclosure Document, the franchise agreement provides for termination upon bankruptcy. However, an amendment for Maryland franchisees states that this provision may not be enforceable under federal bankruptcy law (11 U.S.C. Section 101, et seq.).

This means that while the standard Deck Medic franchise agreement allows for termination if a franchisee declares bankruptcy, this clause's enforceability is questionable, particularly in light of federal bankruptcy laws. Federal law could supersede the franchise agreement, potentially preventing Deck Medic from terminating the agreement solely based on the franchisee's bankruptcy.

Prospective franchisees should be aware of this potential conflict between the franchise agreement and federal law. It is advisable to seek legal counsel to understand the full implications of this clause and how it might affect their rights and obligations in the event of bankruptcy. Franchisees in Maryland should pay particular attention to this issue, given the specific amendment addressing the unenforceability of the termination provision under federal bankruptcy law.