Does the definition of 'Restricted Period' for Augusta Lawn Care apply to officers of the Franchisee?
Augusta_Lawn_Care Franchise · 2025 FDDAnswer from 2025 FDD Document
"Restricted Period" means the two (2) year period after you cease to be a manager of Franchisee's Augusta Lawn Care Business; provided, however, that if a court of competent jurisdiction determines that this period of time is too long to be enforceable, then the "Restricted Period" means the one (1) year period after you cease to be a manager or officer of Franchisee's Augusta Lawn Care Business.
Source: Item 23 — RECEIPTS (FDD pages 44–184)
What This Means (2025 FDD)
According to the 2025 Augusta Lawn Care Franchise Disclosure Document, the definition of 'Restricted Period' does apply to officers of the franchisee. The standard restricted period is two years after ceasing to be a manager of the Augusta Lawn Care business. However, if a court deems this too long, the restricted period becomes one year after ceasing to be a manager or officer.
This means that officers of an Augusta Lawn Care franchise are subject to non-compete restrictions, preventing them from engaging in activities that unfairly compete with Augusta Lawn Care for a certain time after they leave their position. The agreement specifies that officers may gain knowledge of the Augusta Lawn Care system and know-how, and unfairly competing could jeopardize the franchise system.
The agreement also states that if an individual engages in prohibited activities during the restricted period, the restricted period will be extended by the amount of time they were engaging in those prohibited activities. This clause is designed to further protect Augusta Lawn Care's interests and ensure compliance with the non-compete terms. This agreement is part of Exhibit E to the Augusta Lawn Care Franchise Agreement, which covers nondisclosure, nonsolicitation, and noncompetition.