In Michigan, can Deer Solution terminate a Deer Solution franchise before the end of its term without good cause?
Deer_Solution Franchise · 2025 FDDAnswer from 2025 FDD Document
Amendments to the Deer Solution Franchise Disclosure Document
THE STATE OF MICHIGAN PROHIBITS CERTAIN UNFAIR PROVISIONS THAT ARE SOMETIMES IN FRANCHISE DOCUMENTS.
IF ANY OF THE FOLLOWING PROVISIONS ARE IN THESE FRANCHISE DOCUMENTS, THE PROVISIONS ARE VOID AND CANNOT BE ENFORCED AGAINST YOU.
- A.
A prohibition of your right to join an association of Franchisees.
- B.
A requirement that you assent to a release, assignment, novation, waiver, or estoppel that deprives you of rights and protections provided in this act.
This shall not preclude you, after entering into a Franchise Agreement, from settling any and all claims.
- C.
A provision that permits us to terminate a franchise before the expiration of this term except for good cause.
Source: Item 23 — RECEIPTS (FDD pages 55–246)
What This Means (2025 FDD)
According to the 2025 Deer Solution Franchise Disclosure Document, the Michigan FDD Amendment states that certain unfair provisions are prohibited in franchise documents within the state. Specifically, it indicates that any provision allowing Deer Solution to terminate a franchise before the expiration of its term, except for good cause, is void and cannot be enforced against the franchisee in Michigan. This amendment aims to protect franchisees from potentially unfair termination practices by franchisors.
This means that Deer Solution cannot terminate a franchise agreement in Michigan without demonstrating a legitimate reason or "good cause." This provision offers a level of security for franchisees, ensuring that their investment and business operations are not arbitrarily disrupted by the franchisor. The definition of "good cause" is not provided in this excerpt, but Item 17(g) may provide further information.
Prospective franchisees in Michigan should carefully review the franchise agreement and any related amendments to fully understand their rights and protections under Michigan law. They should also seek legal counsel to ensure they are aware of what constitutes "good cause" for termination and how this provision impacts their franchise agreement with Deer Solution.