For how long after the expiration or termination of the Aplus franchise agreement are franchisees prohibited from soliciting customers or business associates of Aplus and/or Sunoco franchisees?
Aplus Franchise · 2024 FDDAnswer from 2024 FDD Document
- 17.3.2. Except as otherwise approved in writing by Franchisor, neither Franchisee, nor any holder of a legal or beneficial interest in Franchisee, nor any officer, director, executive, manager, or member of the professional staff of Franchisee, shall, for a period of two (2) years after the expiration or termination of this Agreement, regardless of the cause of termination, either directly or indirectly, for themselves or through, on behalf of or in conjunction with any person or entity solicit or otherwise attempt to induce or influence any customer or other business associate of Franchisor and or APLUS and/or SUNOCO franchisees to terminate or modify his, her or its business relationship with APLUS and/or SUNOCO; or
- 17.3.4 The two (2) year period shall be tolled during any event of non-compliance.
Source: Item 23 — RECEIPT (FDD pages 68–302)
What This Means (2024 FDD)
According to Aplus's 2024 Franchise Disclosure Document, franchisees are restricted from soliciting customers or business associates of Aplus and/or Sunoco franchisees for a period of two years after the expiration or termination of the franchise agreement. This restriction applies regardless of the reason for termination. This means that for 24 months post-termination, franchisees cannot attempt to persuade any customers or business partners of Aplus or Sunoco to end or alter their relationship with the brand.
This restriction applies not only to the franchisee but also to anyone holding a legal or beneficial interest in the franchise, as well as any officer, director, executive, manager, or member of the professional staff of the franchisee. The non-solicitation clause prevents these individuals from directly or indirectly soliciting on their own behalf or through another entity.
It is important to note that this two-year period can be extended if there is any non-compliance with the terms of the agreement. This tolling provision means that any violation of the non-solicitation agreement can add time to the restriction period, potentially prolonging the franchisee's inability to solicit customers or business associates. Aplus also has the right to require certain individuals to sign non-disclosure agreements to further protect their interests.