For how long after the expiration or termination of the Deer Solution Franchise Agreement are Owners prohibited from participating in a competitive business?
Deer_Solution Franchise · 2025 FDDAnswer from 2025 FDD Document
You and, if you are Corporate Entity, each of your members, shareholders and/or partners (collectively, "Owners"), must personally guarantee all of your obligations to us under the Franchise Agreement. Each Owner and Owner's spouse must personally guarantee your obligations to us under the Franchise Agreement. You and each Owner and spouse shall promise in writing that, among other things, during the term of the Franchise Agreement you will not participate in any business that in any way competes with the Franchised Business, and that for 24 months after the expiration of termination of the Franchise Agreement (with said period being tolled during any periods of non-compliance), you will not participate in any competitive business located within and/or servicing customers located within your Operating Territory and a 25 mile radius surrounding your Operating Territory. Further you will not participate in any competitive business located within and/or servicing customers located within a 25 mile radius of any other Deer Solution Business and/or the operating territory of any other Franchised Business. Your managers and all other employees and agents with access to our confidential information will be required to sign a confidentiality agreement.
Source: Item 15 — OBLIGATION TO PARTICIPATE IN THE ACTUAL OPERATION OF THE FRANCHISE BUSINESS (FDD pages 39–40)
What This Means (2025 FDD)
According to Deer Solution's 2025 Franchise Disclosure Document, Owners are restricted from engaging in any competitive business for 24 months after the expiration or termination of the Franchise Agreement. This 24-month period can be extended if the Owner is not in compliance with the agreement, effectively pausing the clock on the non-compete duration until compliance is achieved.
This restriction applies within the franchisee's Operating Territory and extends to a 25-mile radius surrounding it. Furthermore, Owners are prohibited from participating in any competitive business within a 25-mile radius of any other Deer Solution Business or the operating territory of any other franchised Deer Solution location.
This non-compete agreement is a standard practice in franchising to protect the brand and other franchisees from unfair competition by former franchisees who have gained knowledge and experience operating within the Deer Solution system. Prospective franchisees should carefully consider the implications of this restriction, especially if they plan to remain in the same geographic area after leaving the Deer Solution system.