What is a Deer Solution franchisee required to do if a lawsuit is filed against them or their franchised business?

According to the 2025 Deer Solution Franchise Disclosure Document, a franchisee is required to indemnify and defend Deer Solution and its affiliates against losses, expenses, claims, causes of action, and lawsuits. This means that if a lawsuit is filed against the franchisee's Deer Solution business, the franchisee is responsible for covering the legal costs and any potential damages. The franchisee must also hire legal counsel acceptable to Deer Solution to defend the company. This obligation extends to the franchisee, each owner, Deer Solution, its affiliates, and their respective officers, directors, shareholders, members, owners, partners, agents, representatives, independent contractors, employees, assigns, and successors.

This requirement is a standard practice in franchising, designed to protect the franchisor from liabilities arising from the franchisee's operations. However, it places a significant financial burden on the franchisee, who must bear the costs of defending against claims, even if the franchisor is also named in the suit. A prospective franchisee should carefully consider this obligation and factor in the potential costs of litigation when evaluating the Deer Solution franchise opportunity.

It is important to note that the franchisee's indemnification obligation applies to a broad range of potential claims and losses. This could include lawsuits from customers, employees, or third parties, as well as expenses incurred by Deer Solution in connection with such claims. Franchisees should ensure they have adequate insurance coverage to protect against these risks and consult with legal counsel to fully understand the scope of their indemnification obligations under the Franchise Agreement.