Under what conditions does the proposed transfer include or entail the transfer of the Deer Solution agreement?
Deer_Solution Franchise · 2025 FDDAnswer from 2025 FDD Document
Transfers which in the aggregate Transfers substantially all of the assets of the Franchised Business or a controlling interest in Franchisee, then, at the election of Franchisor and upon notice from Franchisor to Franchisee, the transferee may be required to execute (and/or, upon Franchisor's request, shall cause all interested parties to execute) for a term ending on the expiration date of the original Term of this Agreement, the then current standard form Franchise Agreement offered to new franchisees of Deer Solution Businesses and any other agreements as Franchisor requires. Such agreements shall supersede this Agreement and its associated agreement in all respects, and the terms of Franchisor's then current agreements may differ from the terms in this Agreement, provided that such agreements shall provide for the same Royalty Fee, Advertising Contributions, and all other financial or monetary obligations established in this Agreement;
(8) The transferee, at its expense, must improve, modify, refurbish, renovate, remodel, and/or otherwise upgrade Franchisee's Administrative Office to conform to the then current standards and specifications of Franchisor, and the transferee must complete such improvements, modifications, refurbishments, renovations, remodeling, and/or upgrading within the time period Franchisor reasonably specifies;
(9) Franchisee, each Owner, and each Spouse shall remain liable for all obligations to Franchisor set forth in this Agreement;
(10) At the transferee's expense, the transferee, and the transferee's Managing Owner, managers and/or any other applicable employees of transferee's Deer Solution Business must complete any training programs then in effect for franchisees of Deer Solution Businesses upon terms and conditions set forth in this Agreement or as Franchisor otherwise reasonably requires;
(11) Franchisee must pay the Transfer Fee to Franchisor;
(12) Franchisor's approval of the material terms and conditions of the Transfer, and Franchisor determines in Franchisor's Reasonable Business Judgment that the price and terms of payment are not so burdensome as to be detrimental to the future operations of the Franchised Business by the transferee;
(13) Transferee's employees, directors, officers, independent contractors, and agents who will have access to Confidential Information shall execute the Confidentiality Agreement attached hereto as Exhibit 2;
Source: Item 23 — RECEIPTS (FDD pages 55–246)
What This Means (2025 FDD)
According to Deer Solution's 2025 Franchise Disclosure Document, the transfer of the franchise agreement depends on the extent of the assets being transferred. If the transfers, in aggregate, involve substantially all of the assets of the franchised business or a controlling interest in the franchisee, Deer Solution has the option to require the transferee to execute the then-current standard form Franchise Agreement. This new agreement would be for a term ending on the original expiration date of the initial agreement.
This new agreement supersedes the original agreement in all respects. However, the terms of Deer Solution's current agreements may differ from the terms in the original agreement, but the new agreement must provide for the same Royalty Fee, Advertising Contributions, and all other financial or monetary obligations established in the initial agreement.
Additionally, the transferee may be required to upgrade the Administrative Office to meet Deer Solution's current standards, complete any existing training programs for franchisees, and ensure that employees with access to confidential information execute a Confidentiality Agreement. The franchisee must also pay a Transfer Fee to Deer Solution, and Deer Solution must approve the material terms and conditions of the transfer, determining that the price and payment terms are not detrimental to the business's future operations. Despite the transfer, the original franchisee, owners, and spouses remain liable for all obligations to Deer Solution as outlined in the initial agreement.