What is the 'Protected Area' for an Antioch Pizza Shop franchise, as defined in the agreement?
Antioch_Pizza_Shop Franchise · 2025 FDDAnswer from 2025 FDD Document
and incorporated by this reference. If the location of the Restaurant has not been determined at the time Franchisee and Franchisor sign this Agreement, then it shall be determined as provided in Section 3 below.
- (b) Protected Area. Provided that Franchisee is in compliance with this Agreement, Franchisor shall not open and operate, or franchise another party to open and operate, a Restaurant utilizing the Marks and the System in the area described in Exhibit A and identified therein as the protected area (the "Protected Area"). Franchisee acknowledges and agrees that
the Protected Area is not an exclusive territory; the Protected Territory is subject to Franchisor's reservation of rights, set forth below in Section 2(c).
The grant of a Protected Area in this Section 2(b) does not prohibit Franchisor, any affiliate or another franchisee of Franchisor from either (1) marketing and promoting their own Antioch Pizza Shop restaurant within Franchisee's Protected Area or (2) delivering food to customers located in Franchisee's Protected Area. Franchisee hereby acknowledges that there are no protections granted to Franchisee herein from marketing or promotion of other Antioch Pizza Shop restaurants or delivery of food within Franchisee's Protected Area.
- (c) Franchisor's Reservation of Rights. Subject to Section 2(b) above, Franchisor reserves all rights not specifically granted to Franchisee hereunder. Franchisor (and any Affiliate) further reserves the right to itself or to authorize others to both within and outside the Protected Area:
- (i) conduct businesses under different Marks and System;
- (ii) conduct businesses using the Marks and the System in non-conventional forums.
Source: Item 22 — Contracts (FDD pages 56–57)
What This Means (2025 FDD)
According to Antioch Pizza Shop's 2025 Franchise Disclosure Document, the 'Protected Area' is defined in Exhibit A of the franchise agreement. This area is one in which Antioch Pizza Shop will not open nor allow another party to open or operate a Restaurant utilizing their marks and system, provided the franchisee remains in compliance with the agreement. However, this protected area is not an exclusive territory and is subject to certain rights reserved by Antioch Pizza Shop.
Specifically, Antioch Pizza Shop retains the right to market and promote their own restaurants or allow other franchisees to do so within the franchisee's protected area. They also reserve the right to deliver food to customers within the protected area, meaning there are no protections for the franchisee against marketing, promotion, or delivery from other Antioch Pizza Shop locations.
Antioch Pizza Shop also reserves the right to conduct businesses under different marks and systems, or using the Antioch Pizza Shop marks and system in non-conventional forums such as shopping malls, airports, train stations, hotels, casinos, military bases, federal lands, and university campuses, even within the Protected Area. Additionally, Antioch Pizza Shop may permit other franchisees to offer delivery and catering services within the Protected Area, provided they are operating from a location outside of it. These reservations significantly limit the exclusivity of the protected area, and a franchisee should be aware that other Antioch Pizza Shop operations can still impact their business within their defined territory.