What are the Deer Solution franchisee's obligations regarding the security of the Business Management System Data?
Deer_Solution Franchise · 2025 FDDAnswer from 2025 FDD Document
Upon expiration, termination, or Transfer of this Agreement for any reason, Franchisee shall immediately:
- (3) Permanently cease to use, in any manner: (a) the System including, without limitation, the Confidential Information, the Licensed Marks, the Business Management System Data, and the Operations Manual;
- (9) At no cost to Franchisor, take such action as may be determined by Franchisor to: (a) provide and assign to Franchisor the Business Management System, the Business Management System Data, and all customer lists, customer information, and customer data; and (b) transfer, disconnect, and/or otherwise assign, as directed by Franchisor, all telephone numbers, email addresses, yellow pages telephone directories, telephone directory type listings, Web Based Media listings, accounts and log-in information used in connection with Franchisee's former Deer Solution Business and/or otherwise associated with the System and/or the Licensed Marks, cancel Franchisee's interests in same as such cancellation may be directed by Franchisor, and effectuate, perform, honor, and comply with Franchisee's obligations under the Assignment of Telephone Numbers and Digital Media Accounts attached to this Agreement as Exhibit 3;
- (11) Provide Franchisor, within 30 days of the expiration, termination, or Transfer of this Agreement, with written proof demonstrating that Franchisee has complied with the terms of this Article 17 and all other obligations under this Agreement that Franchisee must perform, abide by, and comply with, subsequent to the termination, expiration, or Transfer of this Agreement.
17.C. CONTINUING OBLIGATIONS
All obligations under this Agreement that expressly, or by their nature, survive, or are intended to survive, the expiration, termination, or Transfer of this Agreement shall continue in full force and effect subsequent to, and notwithstanding, this Agreement's termination, expiration, or Transfer until such obligations are satisfied in full or, by the nature and/or terms, such obligation(s) expire.
Source: Item 23 — RECEIPTS (FDD pages 55–246)
What This Means (2025 FDD)
According to the 2025 Deer Solution FDD, upon termination or transfer of the Franchise Agreement, the franchisee must cease using the Business Management System Data. Specifically, the franchisee must permanently cease to use the Business Management System Data in any manner.
Furthermore, the franchisee is obligated to take necessary actions, at no cost to Deer Solution, to provide and assign the Business Management System, the Business Management System Data, and all customer lists and information to Deer Solution. This includes transferring or disconnecting telephone numbers, email addresses, web-based media listings, and accounts associated with the former Deer Solution business as directed by Deer Solution.
These obligations are part of the continuing obligations that survive the termination, expiration, or transfer of the agreement, and the franchisee must provide written proof of compliance with these terms within 30 days of the termination, expiration, or transfer. This ensures that Deer Solution retains control over its proprietary information and customer data, which is a common practice in franchising to protect the brand and system integrity.