Is an Apricot Lane franchisee limited in the customers to whom they may sell merchandise?
Apricot_Lane Franchise · 2025 FDDAnswer from 2025 FDD Document
Customers for the APRICOT LANE Stores are the general public including those shopping for fashion apparel and accessories, gifts, and impulse buyers. We believe that the market for the products and services provided by the Franchised Business is established. As is the case with retail in general, this business tends to be seasonal with the busiest period in the fourth calendar quarter.
Certain franchisees may qualify to participate in the franchisor-approved e-commerce platform program (the "E-Commerce Platform Program"). Through the E-Commerce Platform Program, qualifying franchisees may sell certain fashion apparel, accessories and other merchandise to customers through the franchisor-approved e-commerce distribution channel. Qualifying franchisees will be those who are not in default under their franchise agreement(s) with us, meet our then-current criteria for participation, and submit all application and any other materials that we request, including a signed Amendment for E-Commerce Platform, the current form of which is attached to this Disclosure Document as Exhibit B-1.
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;
Franchisee shall not rent, lease, distribute (or redistribute) or otherwise make available the E-Commerce Platform, in any form, to any third party without Franchisor's consent.
Source: Item 16 — RESTRICTIONS ON WHAT THE FRANCHISEE MAY SELL (FDD page 35)
What This Means (2025 FDD)
According to Apricot Lane's 2025 Franchise Disclosure Document, franchisees are generally able to sell to the general public. Apricot Lane stores target customers who are shopping for fashion apparel and accessories, gifts, and impulse buys. Apricot Lane believes the market for the products and services is established, with the busiest period being the fourth calendar quarter.
Apricot Lane retains the right to sell merchandise through various channels, including independent retail outlets, wholesale, retail to the general population, catalogs, mail order, home parties, the Internet, and television buying networks, whether within or outside the franchisee's territory. This means that while franchisees can sell to the general public, Apricot Lane itself is not restricted in how or where it sells its merchandise.
Apricot Lane franchisees may also have the opportunity to participate in an e-commerce platform program, allowing them to sell certain merchandise through a franchisor-approved online channel. To qualify, franchisees must not be in default of their franchise agreement, meet the franchisor's criteria for participation, and submit required materials, including a signed amendment for the e-commerce platform. However, the franchisee shall not rent, lease, distribute (or redistribute) or otherwise make available the E-Commerce Platform, in any form, to any third party without Franchisor's consent.