What is the 'Franchised Location' referring to in Section 4.1 of the 1-800-GOT-JUNK? Franchise Agreement?
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)
According to the 2025 FDD, Schedule B of the 1-800-GOT-JUNK? Franchise Agreement includes a section to specify the 'Franchised Location' under Section 4.1. This refers to the physical or defined area from which the franchisee is authorized to operate their 1-800-GOT-JUNK? business. The agreement also defines the 'Territory' granted to the franchisee under Section 2.1(a), with a reference to an attached schedule that identifies the specific area. If applicable, 'Subterritories' granted to the franchisee under Section 2.2 are also defined with reference to attached schedules. Zip codes are used to describe the Territory or Subterritory, with the zip codes in effect as of the Effective Date determining the area. In case of discrepancies between zip codes and the map, the map governs.
For a prospective 1-800-GOT-JUNK? franchisee, the 'Franchised Location' and 'Territory' are critical as they define the geographic boundaries within which they can conduct business and market their services. Understanding these boundaries is essential for assessing the market potential and competitive landscape. The agreement clarifies that the map will govern in case of discrepancies, which provides certainty in defining the territory.
The agreement also specifies a 'Scheduled Opening Date of Franchised Business' under Section 2.5, which the franchisor may extend by up to 60 days. The 'Term' of the agreement is 5 years from the Scheduled Opening Date. These dates are important for planning the launch of the franchise and understanding the duration of the franchise agreement. A prospective franchisee should carefully review the schedules attached to the Franchise Agreement to fully understand the defined 'Territory' and any 'Subterritories'.