Where in the Apricot Lane Franchise Agreement is the non-competition covenant described?

According to the 2025 Apricot Lane Franchise Disclosure Document, Item 17 details the non-competition covenants within the Franchise Agreement. There are two types of non-competition covenants: one during the term of the franchise and another after the franchise is terminated or expires.

The non-competition covenant during the term of the Apricot Lane franchise is found in Section 17.A of the Franchise Agreement. This section states that franchisees cannot engage in or own any competing business without prior written approval from COUNTRY VISIONS, and it is subject to state law. This means that while operating an Apricot Lane franchise, a franchisee's ability to participate in other similar businesses is restricted unless they obtain explicit permission from the franchisor.

The non-competition covenant after the franchise is terminated or expires is described in Section 17.B of the Franchise Agreement. This section specifies that for two years after the expiration or termination of the franchise for any reason, the franchisee cannot own or be involved in a competing business within their former territory or within 10 miles of any other Apricot Lane store. This restriction is also subject to state law, meaning its enforceability can vary depending on the jurisdiction. This post-term covenant aims to protect Apricot Lane's market and brand integrity by preventing former franchisees from directly competing in the same geographic area shortly after leaving the franchise system.