What does the 1-800-GOT-JUNK? Franchise Agreement say about the franchisee's obligations regarding the franchised location?
1_800_Got_Junk Franchise · 2025 FDDAnswer from 2025 FDD Document
This is Schedule B to a Franchise Agreement between 1-800-GOT-JUNK? LLC, a Delaware limited liability company and
FRANCHISED BUSINESS - PARTICULARS Effective Date: Franchised Location (Section 4.1): Territory (Section 2.1(a)): The Territory granted to Franchisee under Section 2.1(a) of this Agreement is the area identified on the attached schedule labelled “Territory”. Subterritories (if applicable) (Section 2.2): The Subterritories granted to Franchisee under Section 2.2 of this Agreement are the areas identified on the attached schedules labelled “Subterritory 1A” through to and including “Subterritory “__”. Where zip codes are used to describe a Territory or Subterritory, the area represented shall be determined having reference to the zip codes in effect as of the Effective Date. In the event of a discrepancy between the zip codes and the map for a particular Territory or Subterritory, the map shall govern. Scheduled Opening Date of Franchised Business (Section 2.5): *, which Franchisor may extend by up to 60 days under Section 2.5. Term (Section 2.6): 5 years from the Scheduled Opening Date.
Source: Item 22 — Contracts (FDD page 24)
What This Means (2025 FDD)
Based on the 2025 Franchise Disclosure Document, the 1-800-GOT-JUNK? Franchise Agreement outlines specifics regarding the franchisee's location. Schedule B of the agreement requires the franchisee to specify the franchised location and territory. The territory granted to the franchisee is detailed on an attached schedule labeled "Territory." If applicable, subterritories are also defined on separate schedules. The agreement clarifies that where zip codes are used to define the territory, the zip codes in effect as of the effective date of the agreement will be used. In case of discrepancies between zip codes and maps, the map will govern.
Additionally, Schedule B specifies the scheduled opening date of the franchised business, which the franchisor, 1-800-GOT-JUNK?, may extend by up to 60 days. The term of the franchise agreement is five years from the scheduled opening date. These provisions collectively define the geographical scope and operational timeline for the franchisee's business.
These location-specific details are crucial for prospective 1-800-GOT-JUNK? franchisees as they establish the boundaries within which they can operate and the timeframe within which they must commence operations. Understanding these obligations is essential for planning and managing the franchise effectively. Franchisees should carefully review these schedules and clarify any ambiguities with 1-800-GOT-JUNK? before signing the agreement.