What are the franchisee's payment obligations to Deer Solution, as outlined in the franchise agreement?
Deer_Solution Franchise · 2025 FDDAnswer from 2025 FDD Document
Without limitation as to any other Article or provision of this Agreement, upon expiration or termination of this Agreement for any reason, Franchisee shall immediately pay to Franchisor all sums and fees due from Franchisee to Franchisor under the terms of this Agreement including, but not limited to Royalty Fees and Advertising Contributions and all other sums and fees due from Franchisee to Franchisor and/or Franchisor affiliates and/or suppliers for products and services including, but not limited to, System Supplies.
5.G. APPLICATION OF PAYMENTS
Franchisor has sole discretion to apply any payments received from Franchisee or to offset any indebtedness of Franchisee to Franchisor to any past due indebtedness of Franchisee for Royalty Fees, Advertising Contributions, purchases from Franchisor or its affiliates, interest, or any other indebtedness of Franchisee to Franchisor or its affiliates.
5.H. WITHHOLDING PAYMENTS UNLAWFUL
Franchisee agrees that under no circumstance is Franchisee entitled to withhold payments due to Franchisor under this Agreement. Among other things and without limitation to the foregoing, Franchisee expressly agrees that any claim by Franchisee as to the alleged non-performance of Franchisor's obligations shall not permit and/or entitle Franchisee to withhold payments due Franchisor under this Agreement.
Franchisee must conspicuously identify itself at the premises of the Franchised Business and in all dealings with customers, lessors, contractors, suppliers, public officials, and others as the owner of a Deer Solution Business under a franchise from Franchisor, and Franchisee must place other notices of independent ownership on signs, forms, stationery, advertising, and other materials as Franchisor requires.
Franchisee must not employ any Licensed Mark in signing any contract, lease, mortgage, check, purchase agreement, negotiable instrument, or other legal obligation. Franchisee must not employ any Licensed Mark in a manner that is likely to result in liability of Franchisor for any indebtedness, action, inaction, or obligation of Franchisee.
Source: Item 23 — RECEIPTS (FDD pages 55–246)
What This Means (2025 FDD)
According to the 2025 Deer Solution Franchise Disclosure Document, franchisees have several payment obligations to the company. Franchisees must pay all sums and fees due to Deer Solution under the terms of the agreement. This includes, but is not limited to, Royalty Fees, Advertising Contributions, and all other sums and fees due for products and services, such as System Supplies, from Deer Solution, its affiliates, and/or suppliers.
Deer Solution has the sole discretion to apply any payments received from the franchisee to any past due indebtedness. This can include Royalty Fees, Advertising Contributions, purchases from Deer Solution or its affiliates, interest, or any other debts the franchisee owes to Deer Solution or its affiliates. The agreement explicitly states that franchisees are not entitled to withhold payments due to Deer Solution under any circumstances, even if the franchisee claims Deer Solution is not fulfilling its obligations.
Upon termination or expiration of the franchise agreement, the franchisee is obligated to immediately pay all outstanding sums and fees to Deer Solution. This ensures that all financial obligations are settled promptly when the agreement ends. Franchisees are also required to conspicuously identify themselves as a Deer Solution franchisee in all business dealings and must adhere to specific guidelines regarding the use of Licensed Marks to avoid creating liability for Deer Solution.