Does the Deer Solution franchise agreement specify that 'Ancillary Agreements' do not include the franchise agreement itself?
Deer_Solution Franchise · 2025 FDDAnswer from 2025 FDD Document
- "Ancillary Agreements" refers to and means, individually and collectively, each and every agreement between: (a) Franchisor and Franchisee but, not including this Agreement; (b) Franchisor and each of Franchisee's Owners, whether individually and/or collectively; and (c) Franchisor and each Spouse of Franchisee's Owners, whether individually and/or collectively.
Without limitation to the foregoing, the term Ancillary Agreements includes the Franchise Owner and Spouse Agreement and Guaranty, Lease Agreement Rider, Collateral Assignment of Lease and the Assignment of Telephone Numbers and Digital Media Accounts, as said agreements, individually and/or collectively, may have been entered into between the foregoing parties.
Source: Item 23 — RECEIPTS (FDD pages 55–246)
What This Means (2025 FDD)
According to the 2025 Deer Solution Franchise Disclosure Document, the definition of "Ancillary Agreements" specifically excludes the franchise agreement itself. This means that any agreements between Deer Solution and the franchisee, the franchisee's owners, or their spouses, are considered ancillary agreements, except for the franchise agreement.
This distinction is important because different terms and conditions may apply to the franchise agreement versus the ancillary agreements. For example, the FDD states that upon termination of the franchise agreement, Deer Solution can hold the franchisee and their owners liable for obligations under the franchise agreement and the ancillary agreements. This indicates that Deer Solution views these as separate and distinct agreements with potentially different remedies.
Prospective Deer Solution franchisees should carefully review all agreements, including the franchise agreement and any ancillary agreements, to understand their rights and obligations. It is advisable to seek legal counsel to fully understand the implications of these agreements.