As an Anago franchisee, am I granted an exclusive or protected territory?
Anago Franchise · 2025 FDDAnswer from 2025 FDD Document
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The parties agree as follows:
ARTICLE 1 - APPOINTMENT
SECTION 1.1 GRANT OF UNIT FRANCHISE.
We grant You the right, and You undertake the obligation, to operate 1 Anago Unit Franchise under the System, subject to the terms of this Agreement.
SECTION 1.2 NO PROTECTED TERRITORY.
You are not obtaining any exclusive or protected territory. You may only operate your Unit Franchise anywhere within the counties of (Your counties) in the state of (Your State) (the "Area") under the name Anago. You cannot operate your Unit Franchise outside the Area. We may open and operate Company Units and franchise the Anago Unit Franchise to other Unit Franchisees or engage in any other method of distribution in Our complete discretion whenever, however and wherever We determine, including within the Area. You must designate your own Premises within the Area from which you will manage and administer Your Unit Franchise.
Source: Item 23 — RECEIPTS (FDD pages 62–298)
What This Means (2025 FDD)
According to Anago's 2025 Franchise Disclosure Document, franchisees are not granted an exclusive or protected territory. An Anago franchisee can operate their unit franchise within specific counties of a designated state. This area is referred to as "the Area." However, franchisees are prohibited from operating outside of this designated Area.
Anago retains the right to operate company units or franchise other units to other franchisees, even within the franchisee's designated Area. This means that Anago can establish company-owned operations or grant additional franchises in the same territory where a franchisee is already operating.
As an Anago franchisee, you must designate a physical location within your Area to manage and administer your unit franchise. If this location is not your residence, Anago requires prior written approval of the business premises and lease agreement; however, such approval will not be unreasonably withheld.