What is the Deer Solution franchisee's obligation regarding assigning rights to improvements?
Deer_Solution Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee agrees that with regard to the Franchised Business all customer lists and their contents and information represent Confidential Information and constitute an asset of Franchisor whether or not such information was supplied by Franchisor. During the Term of this Agreement and in connection with the development, establishment, marketing, promotion and operation of the Franchised Business, Franchisee shall disclose to Franchisor all of Franchisee's ideas, concepts, methods, and products conceived or developed by Franchisee and Franchisee's affiliates, Owners, agents, and employees relating to the development and operation of Deer Solution Businesses. Franchisee hereby assigns to Franchisor and Franchisee agrees to procure from Franchisee's Owners, affiliates and employees assignment of any such ideas, concepts, methods, and products that Franchisee is required to disclose to Franchisor under this Article 6.I. Franchisor shall have no obligation to make any lump sum or on-going payments to Franchisee or Franchisee's Owners, affiliates, or employees with respect to any such idea, concept, method, technique
or product. Franchisee agrees that Franchisee will not use nor will Franchisee allow any other person or entity to use any such concept, method, or product without obtaining Franchisor's prior written approval.
Source: Item 23 — RECEIPTS (FDD pages 55–246)
What This Means (2025 FDD)
According to Deer Solution's 2025 Franchise Disclosure Document, franchisees have specific obligations regarding any innovations, improvements, or information they develop related to the Deer Solution business. During the term of the franchise agreement, franchisees must disclose to Deer Solution all ideas, concepts, methods, and products conceived or developed by the franchisee, their owners, affiliates, agents, and employees that relate to the development and operation of Deer Solution businesses. This includes anything related to the establishment, marketing, and promotion of the franchise.
The franchisee is required to assign all rights to these ideas, concepts, methods, and products to Deer Solution. This assignment also extends to securing the assignment of rights from the franchisee's owners, affiliates, and employees. Deer Solution is not obligated to provide any compensation, whether in a lump sum or ongoing payments, for these assigned rights.
Furthermore, the franchisee is prohibited from using or allowing anyone else to use any such concept, method, or product without obtaining Deer Solution's prior written approval. This means that any innovation a franchisee develops for their Deer Solution business automatically becomes the property of the franchisor, and the franchisee cannot use it independently without permission. This is a significant consideration for prospective franchisees who may have innovative ideas to improve the business, as they will not retain ownership or control over those innovations.