Besides what is provided in the agreement, is a 1-800-GOT-JUNK? franchisee permitted to fill orders within the territory?
1_800_Got_Junk Franchise · 2025 FDDAnswer from 2025 FDD Document
persons or entities with property located within the Territory, provided that the Services
shall only be provided at premises located within the Territory;
(b)
to use the System, the Marks and the Copyright-Protected Materials in connection with the
operation of the Franchised Business in accordance with this Agreement and the provisions
of the Operations Manual, or in such manner as may be approved in advance in writing by
Franchisor; and
(c)
to use the copyright-protected series of System manuals, including online materials,
developed and owned by Franchisor, as revised by Franchisor from time to time
(collectively, the “Operations Manual”).
2.2
Territory and Subterritories.
So long as Franchisee is in full compliance with the terms
and conditions of this Agreement, Franchisor shall refrain from establishing or operating or granting to
anyone else a franchise to establish or operate a 1-800-GOT-JUNK? business within the Territory.
The Territory will be divided into subterritories, which will be set out in Schedule B (the “Subterritories”).
Franchisee shall pay an additional franchise fee for each Subterritory (“Subterritory Initial Fees”), as set
out in Schedule B or as Franchisor and Franchisee may otherwise agree in writing.
Franchisee shall not,
without Franchisor’s prior written consent, begin offering the Services in any Subterritory until the
Subterritory Initial Fee for that Subterritory has been paid in full.
If Franchisor and Franchisee desire to
add one or more additional Subterritories to the Territory, Franchisor may require, as a condition of granting
such additional Subterritory, that Franchisee enter into an amending agreement, or at the election of
Franchisor, Franchisor’s then current form of franchise agreement, in respect of such additional
Subterritories, the term of which may coincide with the term of this Agreement.
Without limiting
Franchisee’s obligation to perform due diligence prior to entering into this Agreement, in the event
Franchisee is unable to operate in any one or more Subterritory due to government regulations, Franchisor
Source: Item 22 — Contracts (FDD page 24)
What This Means (2025 FDD)
According to the 2025 FDD, a 1-800-GOT-JUNK? franchisee is permitted to provide services to people or entities with property located within the Territory, as long as the services are provided at premises located within the Territory. The franchisee also has the right to use the 1-800-GOT-JUNK? System, Marks, and Copyright-Protected Materials in connection with the operation of the Franchised Business, according to the agreement and the Operations Manual. They can also use the copyright-protected series of System manuals, including online materials, developed and owned by 1-800-GOT-JUNK?, as revised by 1-800-GOT-JUNK? from time to time.
The 1-800-GOT-JUNK? agreement states that as long as the franchisee is in full compliance with the terms and conditions of the agreement, 1-800-GOT-JUNK? will not establish or operate or grant to anyone else a franchise to establish or operate a 1-800-GOT-JUNK? business within the Territory. The Territory will be divided into subterritories, which will be set out in Schedule B. The franchisee must pay an additional franchise fee for each subterritory. The franchisee cannot begin offering services in any subterritory until the Subterritory Initial Fee for that subterritory has been paid in full, without prior written consent from 1-800-GOT-JUNK?.
If the franchisee and 1-800-GOT-JUNK? want to add more subterritories to the Territory, 1-800-GOT-JUNK? may require the franchisee to enter into an amending agreement or 1-800-GOT-JUNK?'s current form of franchise agreement for those additional subterritories, with a term that may coincide with the term of the original agreement. If the franchisee cannot operate in any subterritory due to government regulations, this does not limit the franchisee's obligation to perform due diligence before entering into the agreement.