Under a Multi-Unit Development Agreement for Deer Solution, will I receive an exclusive territory?

According to Deer Solution's 2025 Franchise Disclosure Document, franchisees entering into a Multi-Unit Development Agreement will not receive an exclusive territory. This means that as a Deer Solution franchisee, you may face competition from other franchisees, outlets owned by Deer Solution, other distribution channels, or competitive brands controlled by Deer Solution. This lack of exclusivity is a critical factor for potential franchisees to consider, as it directly impacts the competitive landscape they will operate in.

Despite the lack of an exclusive territory under a Multi-Unit Development Agreement, Deer Solution states that during the term of the Franchise Agreement, provided you are not in default of your obligations, Deer Solution will not open or grant another franchisee the right to open a Deer Solution Business within your Operating Territory. However, this is subject to certain 'Reserved Rights' that Deer Solution retains. These rights allow Deer Solution and its affiliates to operate and franchise Deer Solution businesses outside your Operating Territory, irrespective of proximity. They also allow Deer Solution to engage in various activities, such as acquisitions, mergers, and the use of alternative distribution channels, even within your territory.

Deer Solution also reserves the right to use alternative channels of distribution, such as the internet, catalog sales, telemarketing, or other direct marketing sales, to make sales within your territory using their principal trademarks or different trademarks. Furthermore, Deer Solution is not restricted from soliciting or accepting orders from customers inside your territory, and you will not receive compensation for such activities. These stipulations highlight the importance of understanding the scope and limitations of your operating territory and the potential for competition from Deer Solution's own activities.

As a Deer Solution franchisee, you must operate your Deer Solution Business exclusively within your Operating Territory and target your marketing efforts accordingly. Direct solicitation of customers outside your territory or within another franchisee's territory is prohibited. While you may provide services in an 'Open Area' (a geographic area not assigned to another franchisee and within a zip code designated by Deer Solution), this requires written approval and is subject to change if the Open Area becomes an Assigned Area. These territorial rules emphasize the need for franchisees to adhere strictly to the defined boundaries and restrictions to avoid potential conflicts and maintain compliance with the Franchise Agreement.