Can Apricot Lane establish and operate Apricot Lane stores outside of a franchisee's territory?
Apricot_Lane Franchise · 2025 FDDAnswer from 2025 FDD Document
The Territory is only protected to the extent that neither COUNTRY VISIONS nor any affiliate will locate either a company-owned or franchised APRICOT LANE within your Territory during the term of the Franchise Agreement.
You will not receive an exclusive territory. You may face competition from other franchisees, from outlets that we own, or from other channels of distribution or competitive brands that we control. We (and our affiliates) retain the right during the term of the Franchise Agreement to engage in any and all activities that we (and our affiliates) desire, any time or place, and whether or not these activities compete with the Franchised Business, including the right to:
- (1) sell and authorize other parties to sell merchandise, including merchandise bearing the Marks or any similar or related names or marks, to independent retail outlets, at wholesale, at retail to the general population and by means of catalogs, mail order, home parties, Internet and/or television buying networks and/or clubs, whether within or outside of the Territory;
- (2) establish and operate and authorize other parties to establish and operate Stores, the physical premises of which are located outside of the Territory, on any terms and conditions we deem appropriate;
Source: Item 12 — TERRITORY (FDD pages 30–32)
What This Means (2025 FDD)
According to Apricot Lane's 2025 Franchise Disclosure Document, franchisees are not granted exclusive territories. This means that Apricot Lane retains the right to establish and operate stores, or authorize other parties to do so, outside of a franchisee's designated territory. This includes establishing stores whose physical premises are located outside of the territory, under terms and conditions that Apricot Lane deems appropriate.
This lack of exclusivity presents both opportunities and risks for franchisees. On one hand, Apricot Lane's ability to open additional stores could increase brand recognition and potentially drive more customers to the brand overall, benefiting all franchisees. On the other hand, franchisees may face direct competition from other Apricot Lane outlets, including those owned by the company, which could impact their sales and profitability.
Furthermore, Apricot Lane reserves the right to engage in various activities that may compete with the franchised business, such as selling merchandise through different channels of distribution (e.g., independent retail outlets, wholesale, catalogs, internet) both within and outside the franchisee's territory. This broad reservation of rights underscores the importance of franchisees understanding that their territory is not protected from competition initiated by Apricot Lane itself. Prospective franchisees should carefully consider the potential impact of this non-exclusive territory on their business before investing in an Apricot Lane franchise.