What is the geographic limit of the 1-800-GOT-JUNK? franchise's territory?
1_800_Got_Junk Franchise · 2025 FDDAnswer from 2025 FDD Document
): 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. Renewal Term (Article 19): Three renewal terms of 5 years each, commencing immediately following the last day of the Term or Renewal Term, as the case may be.
Source: Item 22 — Contracts (FDD page 24)
What This Means (2025 FDD)
According to the 2025 1-800-GOT-JUNK? Franchise Disclosure Document, the territory granted to the franchisee is defined in Schedule B of the Franchise Agreement, labeled as "Territory". This territory may be further divided into subterritories, also detailed in Schedule B as "Subterritory 1A" through "Subterritory __".
The territory or subterritory is defined using zip codes, referring to those in effect as of the agreement's effective date. In case of any discrepancy between the zip codes and the map, the map will take precedence in determining the boundaries of the territory or subterritory. 1-800-GOT-JUNK? will refrain from establishing or operating another franchise within the franchisee's territory as long as the franchisee is compliant with the agreement.
The franchisee is allowed to solicit business from people or entities with property located within the territory, but the junk removal services must be performed at premises located within the defined territory. The franchisee cannot operate in a subterritory until the subterritory initial fee for that specific area has been paid in full, unless they have 1-800-GOT-JUNK?'s prior written consent.