Does Deer Solution's approval of a franchisee's proposed administrative office constitute a representation or warranty?
Deer_Solution Franchise · 2025 FDDAnswer from 2025 FDD Document
- (3) Franchisee's Administrative Office must be located within the Operating Territory and be approved by Franchisor;
- (4) Franchisee may only operate the Franchised Business within Franchisee's Operating Territory and, without limitation to the foregoing, Franchisee may only offer and sell the Approved Services and Products within Franchisee's Operating Territory from Franchisor designated and authorized Service Vehicles, the System standards designated by Franchisor, and in accordance with the requirements designated by Franchisor in the Operations Manual;
Source: Item 23 — RECEIPTS (FDD pages 55–246)
What This Means (2025 FDD)
According to Deer Solution's 2025 Franchise Disclosure Document, the franchisee's administrative office must be located within the operating territory and be approved by Deer Solution. Deer Solution's approval is a condition for operating the franchise, but the FDD does not state that this approval constitutes a representation or warranty.
Deer Solution requires the franchisee to operate the business from an approved administrative office within the designated operating territory. The franchisee can only offer and sell approved services and products within their operating territory from Deer Solution-designated and authorized service vehicles, meeting system standards, and following the requirements in the operations manual.
While the FDD specifies that the administrative office needs approval, it does not elaborate on the criteria Deer Solution uses for granting approval. A prospective franchisee should inquire about the specific requirements and standards for administrative office locations to ensure compliance and avoid potential issues after signing the agreement. Understanding these criteria is crucial for setting up a suitable and approved base of operations.