What are the subterritories of a 1-800-GOT-JUNK? franchise set out in?
1_800_Got_Junk Franchise · 2025 FDDAnswer from 2025 FDD Document
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.
Source: Item 22 — Contracts (FDD page 24)
What This Means (2025 FDD)
According to the 2025 1-800-GOT-JUNK? Franchise Disclosure Document, the subterritories granted to a franchisee are detailed in Schedule B of the Franchise Agreement. These areas are specifically identified on attached schedules labeled "Subterritory 1A" through to and including "Subterritory "__".
For prospective franchisees, this means that the specific geographic boundaries of each subterritory within their franchise territory will be clearly defined in Schedule B. These boundaries may be described using zip codes, and the document clarifies that in case of any discrepancy between zip codes and the map, the map shall govern. This ensures clarity and avoids potential disputes regarding the operational area.
Furthermore, franchisees must pay an additional franchise fee for each subterritory they intend to operate in, referred to as "Subterritory Initial Fees," as outlined in Schedule B or as otherwise agreed upon in writing with 1-800-GOT-JUNK?. The franchisee cannot begin offering services in a subterritory until this fee is paid in full, emphasizing the financial commitment required for each operational area. If a franchisee wants to add more subterritories later, 1-800-GOT-JUNK? may require an amending agreement or a new franchise agreement for those additional subterritories.