Does Deer Solution's consent to a transfer waive any claims against the franchisee?
Deer_Solution Franchise · 2025 FDDAnswer from 2025 FDD Document
(ii) disclaiming reliance on any statement made by any franchisor, franchise seller, or other person acting on behalf of the franchisor. This provision supersedes any other term of any document executed in connection with the franchise.
IN WITNESS WHEREOF, the parties have duly executed and delivered this Illinois amendment to the Deer Solution Franchising LLC Franchise Agreement on the same date as the Franchise Agreement was executed.
| Franchisor: Deer Solution Franchising LLC | Franchisee: | |
|---|---|---|
| Signature | Signature | |
| Name and Title (please print) | Name (please print) | |
| Dated | Dated |
MARYLAND FRANCHISE AGREEMENT AMENDMENT
Amendments to the Deer Solution Franchise Agreement
In recognition of the requirements of the Maryland Franchise Registration and Disclosure Law, the parties to the attached Deer Solution Franchising LLC Franchise Agreement (the "Franchise Agreement"), as follows:
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- The Franchise Agreement provides that disputes are resolved through arbitration. A Maryland franchise regulation states that it is an unfair or deceptive practice to require a franchisee to waive its right to file a lawsuit in Maryland claiming a violation of the Maryland Franchise Law. In light of the Federal Arbitration Act, there is some dispute as to whether this forum selection requirement is legally enforceable.
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- The general release required as a condition of renewal, sale, and/or assignment/transfer shall not apply to any liability under the Maryland Franchise Registration and Disclosure Law.
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- Article 18.G. of the Franchise Agreement, under the heading "Choice of Law, Non-Binding Mediation, Binding Arbitration, and Consent to Jurisdiction," shall be amended by the addition of the following statement added to Article 18.G. of the Franchise Agreement:
- A franchisee may bring a lawsuit in Maryland for claims arising under the Maryland Franchise Registration and Disclosure Law.
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- Article 18.I. of the Franchise Agreement, under the heading "Limitations of Claims," shall be amended by the addition of the following statement added to Article 18.I. of the Franchise Agreement:
Any claims arising under the Maryland Franchise Registration and Disclosure Law must be brought within three years after the grant of the franchise.
A general release required as a condition of renewal, sale and/or assignment or transfer of a Franchise Agreement shall not apply to any liability under the Maryland Franchise Registration and Disclosure Law.
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- No statement, questionnaire or acknowledgement signed or agreed to by a franchisee in connection with the commencement of the franchise relationship shall have the effect of (i) waiving any claims under any applicable state franchise law, including fraud in the inducement, or (ii) disclaiming reliance on any statement made by any franchisor, franchise seller, or other person acting on behalf of the franchisor. This provision supersedes any other term of any document executed in connection with the franchise.
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- Section 18.Q. of the Franchise Agreement is hereby deleted.
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- Each provision of this amendment shall be effective only to the extent, with respect to such provision, that the jurisdictional requirements of the Maryland Franchise Registration and Disclosure Law are met independently without reference to this amendment.
[SIGNATURE PAGE TO FOLLOW]
IN WITNESS WHEREOF, the parties have duly executed and delivered this Maryland amendment to the Deer Solution Franchising LLC Franchise Agreement on the same date as the Franchise Agreement was executed.
| Deer Solution Franchising LLC Franchisor: | Franchisee: |
|---|---|
| Signature | Signature |
| Name and Title (please print) | Name (please print) |
| Dated | Dated Signature Name (please print) Dated |
MINNESOTA FRANCHISE AGREEMENT AMENDMENT
Amendments to the Deer Solution Franchise Agreement
In recognition of the requirements of the Minnesota Statutes, Chapter 80C. and Minnesota Franchise Rules, Chapter 2860, the parties to the attached Deer Solution Franchising LLC Franchise Agreement (the "Franchise Agreement"), as follows:
- Article 14.C. of the Franchise Agreement, under the heading "Conditions for Approval of Transfer," subarticle 14.C(6) is supplemented with the addition of the following language:
; provided, however, that all rights enjoyed by Franchisee and any causes of action arising in Franchisee's favor from the provisions of the Minnesota Franchise Act, Minn. Stat. Section 80C.14 et seq. and Minnesota Rules 2860.4400(D), shall remain in force; it being the intent of this provision that the non-waiver provisions of the Minnesota Rules 2860.4400(D) be satisfied; and
Minnesota law provides a franchisee with certain termination and non-renewal rights. Minn. Stat. Sect. 80C.14 Subdivisions 3, 4, and 5 require, except in certain specified cases, that franchisee be given 180 days-notice of nonrenewal of this Agreement by Franchisor.
- Article 15.B. of the Franchise Agreement, under the heading "Conditions for Renewal," subarticle 15.B(8) is supplemented with the addition of the following language:
; provided, however, that all rights enjoyed by Franchisee and any causes of action arising in Franchisee's favor from the provisions of the Minnesota Franchise Act, Minn. Stat. Section 80C.14 et seq. and Minnesota Rules 2860.4400(D), shall remain in force; it being the intent of this provision that the non-waiver provisions of the Minnesota Rules 2860.4400(D) be satisfied; and
Minnesota law provides a franchisee with certain termination and non-renewal rights. Minn. Stat. Sect. 80C.14 Subdivisions 3, 4, and 5 require, except in certain specified cases, that franchisee be given 180 days-notice of nonrenewal of this Agreement by Franchisor.
3.
Source: Item 23 — RECEIPTS (FDD pages 55–246)
What This Means (2025 FDD)
According to the 2025 Deer Solution Franchise Disclosure Document, the franchisor's consent to a transfer does not automatically waive all claims against the franchisee. Specifically, in Maryland and Rhode Island, any general release required as a condition of the sale or transfer of a franchise does not apply to liabilities arising under their respective state franchise laws. This means that even if a franchisee signs a general release as part of the transfer process, they may still be able to pursue claims against Deer Solution under Maryland or Rhode Island franchise law.
Furthermore, the FDD includes amendments for California, Virginia, and Washington stating that no statement, questionnaire, or acknowledgement signed by a franchisee in connection with the commencement of the franchise relationship can waive claims under applicable state franchise law, including fraud in the inducement, or disclaim reliance on statements made by Deer Solution or its representatives. This provision supersedes any other term in the franchise agreement. Therefore, franchisees in these states retain their rights to pursue certain legal claims, regardless of any agreements made during the initial franchising process.
In Minnesota, the FDD states that Item 17, which covers renewal, termination, transfer, and dispute resolution, cannot provide for a prospective general release of claims against Deer Solution that may be subject to Minnesota Franchise Law. Minnesota law also prohibits Deer Solution from requiring franchisees to assent to a general release. These state-specific amendments ensure that franchisees retain certain legal rights and protections, even in the event of a franchise transfer. Prospective franchisees should carefully review the state-specific amendments applicable to their location to understand the full scope of their rights and obligations.