In a legal dispute regarding a breach of the Deer Solution Franchise Agreement, who is responsible for covering the prevailing party's attorney's fees and costs?

According to the 2025 Deer Solution Franchise Disclosure Document, if Deer Solution sues a franchisee for breaching the Franchise Agreement and Deer Solution prevails in the lawsuit, the franchisee is responsible for paying Deer Solution's reasonable attorney fees and costs. This means that a franchisee could incur significant legal expenses if they breach the agreement and Deer Solution wins the legal action.

This provision is fairly common in franchise agreements, as it aims to protect the franchisor from incurring legal costs due to a franchisee's non-compliance. However, it's important to note that this clause only applies if Deer Solution initiates the lawsuit and wins. The FDD excerpt does not specify who would be responsible for attorney's fees and costs if the franchisee sues Deer Solution and prevails.

A prospective Deer Solution franchisee should carefully consider this clause and understand the potential financial implications of breaching the Franchise Agreement. It would be prudent to consult with a legal professional to fully understand their rights and obligations under the agreement, especially regarding legal disputes and associated costs. Additionally, a franchisee may want to inquire with the franchisor about scenarios where the franchisee prevails to understand the full scope of legal cost responsibilities.