Will Deer Solution guarantee any note on behalf of a franchisee?
Deer_Solution Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisor and Franchisee shall not make any express or implied agreements, guaranties, or representations, or incur any debt, in the name, or on behalf, of the other. Franchisor and Franchisee shall not represent that their relationship is anything other than franchisor and franchisee. Franchisor and Franchisee shall not be obligated by, or have any liability under, any agreements or representations made by the other that are not expressly authorized. Franchisor shall not be obligated for any damages to any person or property directly or indirectly arising out of the operation of the Franchised Business, whether or not caused by Franchisee's negligent, willful act or failure to act.
Source: Item 10 — FINANCING (FDD page 28)
What This Means (2025 FDD)
According to Deer Solution's 2025 Franchise Disclosure Document, Deer Solution will not make any guarantees on behalf of the franchisee. The franchise agreement specifies that neither Deer Solution nor the franchisee can make any agreements, guarantees, or representations, or incur any debt in the name, or on behalf, of the other.
This means that as a Deer Solution franchisee, you are solely responsible for all financial obligations related to your franchise. Deer Solution will not be liable for any debts, actions, or inactions you incur. This protects Deer Solution from being held responsible for a franchisee's financial missteps or contractual breaches.
This type of clause is standard in franchise agreements. It reinforces the independent nature of the franchisor-franchisee relationship. Prospective franchisees should be aware that they must secure their own financing and manage their business operations independently, without relying on Deer Solution to cover their liabilities.