Does the non-solicitation agreement for a 360 Painting franchise apply during the term of the agreement?

According to 360 Painting's 2025 Franchise Disclosure Document, the non-solicitation agreement is in effect during the term of the franchise agreement. Specifically, the franchisee agrees that while the Franchise Agreement is in effect, they will not directly solicit or disrupt the relationships between 360 Painting and its customers or vendors. This restriction also applies to the relationships between other 360 Painting franchisees and their respective customers and vendors.

This means that as a 360 Painting franchisee, you are prohibited from actively seeking to gain the business of existing customers or vendors of the franchisor or other franchisees during the period you are operating under the franchise agreement. This is a fairly standard clause in franchise agreements, designed to protect the brand's established relationships and prevent franchisees from unfairly competing within the system.

The non-solicitation agreement extends for a period of two years after the expiration or termination of the agreement, or following a transfer of the franchise. This extended period ensures that franchisees do not exploit their knowledge of customer relationships gained during the franchise term to unfairly compete with 360 Painting after they leave the system. Violation of this clause could lead to legal action by 360 Painting to protect its business interests.