What obligation does a Deer Solution franchisee have if they elect to accept a Service Order?
Deer_Solution Franchise · 2025 FDDAnswer from 2025 FDD Document
customers outside of Franchisee's Operating Territory or, within the Operating Territory of another Deer Solution Business, (ii) does not otherwise violate the restrictions set forth in Article 9.F of this Agreement, and (iii) in each instance Franchisee provides Franchisor with an Out of Territory Service Request that, in writing, is approved by Franchisor, Franchisee's Deer Solution Business may, on a non-exclusive basis, provide an Approved Services and Products to a customer within an Open Area. Franchisee must obtain Franchisor's approval in each and every instance and Franchisor may, in Franchisor's Reasonable Business Judgment, reject or disapprove of Franchisee's Out of Territory Service Request; and
(3) Once an Open Area becomes an Assigned Area, Franchisee shall cease communicating with customers previously serviced by Franchisee in the Open Area and Franchisee shall turnover to Franchisor, for the benefit of Franchisor, or another Deer Solution Business, all information and records related to the Approved Services and Products provided within the Open Area.
Nothing contained in this Article 3.J. shall expand either the non-exclusive franchise rights granted to franchisee in Article 2 of this Agreement or, Franchisee's Operating Territory and, in the event of any inconsistency or conflict between the terms of this Article 3.J. and Article 2, Article 2 shall take precedence and govern.
Source: Item 23 — RECEIPTS (FDD pages 55–246)
What This Means (2025 FDD)
According to the 2025 Deer Solution Franchise Disclosure Document, a franchisee has specific obligations when providing services outside their designated territory. A Deer Solution franchisee may provide approved services and products to customers outside of their operating territory, or within the operating territory of another Deer Solution business, but only under certain conditions.
First, the franchisee's actions must not violate the restrictions outlined in Article 9.F of the agreement. Second, the franchisee must provide Deer Solution with a written Out of Territory Service Request, which Deer Solution must approve. This approval is not guaranteed, as Deer Solution retains the right to reject or disapprove the request based on their reasonable business judgment.
Furthermore, if the area where the franchisee provides out-of-territory services transitions from an open area to an assigned area, the franchisee must cease all communication with customers they previously serviced in that area. They are also required to turn over all information and records related to the approved services and products provided in the now-assigned area to Deer Solution, for the benefit of Deer Solution or another Deer Solution business. The FDD clarifies that these provisions do not expand the franchisee's rights granted in Article 2 of the agreement, and in case of conflict between Article 3.J and Article 2, Article 2 takes precedence.