factual

Can a Deer Solution franchisee disclaim reliance on statements made by the franchisor or its representatives in connection with the franchise agreement?

Deer_Solution Franchise · 2025 FDD

Answer from 2025 FDD Document

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.

Source: Item 23 — RECEIPTS (FDD pages 55–246)

What This Means (2025 FDD)

According to the 2025 Deer Solution Franchise Disclosure Document, a franchisee cannot disclaim reliance on statements made by Deer Solution or its representatives. This protection is explicitly stated in Item 23, Receipts, within the general provisions and is further reinforced through state-specific amendments for California, Hawaii, Illinois, Minnesota, and New York. These amendments ensure that no agreement signed by the franchisee can waive claims under state franchise law, including those related to fraud in the inducement or disclaiming reliance on statements made by the franchisor. This provision overrides any conflicting terms in any document associated with the franchise agreement.

For a prospective Deer Solution franchisee, this means that any statements or representations made by Deer Solution during the franchise sales process can be relied upon, and the franchisee retains the right to pursue legal recourse if those statements prove to be false or misleading. This protection is particularly important in states like California, Hawaii, Illinois, Minnesota, and New York, where specific franchise laws are in place to protect franchisees. The FDD emphasizes that these state laws take precedence over any conflicting terms in the franchise agreement.

This provision is a significant benefit for franchisees as it prevents Deer Solution from using contractual language to shield itself from liability for misrepresentations made during the sales process. It aligns with the broader purpose of franchise laws, which is to ensure a fair and transparent relationship between franchisors and franchisees. Prospective franchisees should carefully review Item 23 and any state-specific amendments to fully understand their rights and protections under the franchise agreement. This ensures that franchisees are not bound by clauses that could unfairly limit their legal options in case of disputes or misrepresentations.

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.