When are Legal Fees and Expenses due for a Deer Solution franchise?
Deer_Solution Franchise · 2025 FDDAnswer from 2025 FDD Document
| Reporting Non-Compliance | $150 per occurrence | 14 days of invoice | Payable for failure to timely submit Royalty and Activity Reports, and other reports and financial statements as required under Franchise Agreement. |
|---|---|---|---|
| Operations Non-Compliance | $450 to $1,000 per occurrence | 14 days of invoice | Payable for failure to comply with operational standards as required and specified under Franchise Agreement, plus inspection and re- inspection costs incurred by us. |
| Payment Non-Compliance | $150 per occurrence | Payable for failure to timely pay, when due, a fee or payment due to us under the Franchise Agreement, plus interest, costs, and legal fees. | |
| Non-Compliance | Actual fees, costs, and expenses | On demand | Fees, costs, and expenses incurred by us as a result of your breach or non- compliance with the terms of your Franchise Agreement. |
| Legal Fees and Expenses | Costs and expenses | As incurred | This fee includes, but is not limited to, attorneys’ fees for any failure to pay amounts when due or failure to comply in any way with the Franchise Agreement. |
Source: Item 6 — OTHER FEES (FDD pages 14–19)
What This Means (2025 FDD)
According to Deer Solution's 2025 Franchise Disclosure Document, legal fees and expenses are due as incurred. These costs and expenses include, but are not limited to, attorney's fees for any failure to pay amounts when due or failure to comply in any way with the Franchise Agreement.
This means that a Deer Solution franchisee can expect to pay legal fees and expenses as they arise, rather than on a fixed schedule. The timing and amount of these fees will depend on the specific circumstances, such as failure to pay amounts when due or failure to comply with the Franchise Agreement. It is important for franchisees to understand their obligations under the Franchise Agreement to avoid incurring these fees.
Many franchise agreements include provisions for the franchisee to cover the franchisor's legal costs in certain situations, particularly when the franchisee is in breach of contract. This is a fairly standard practice in franchising, intended to protect the franchisor from losses resulting from franchisee non-compliance. Franchisees should carefully review the franchise agreement and seek legal counsel to fully understand the circumstances under which they may be responsible for legal fees and expenses.