For how long after termination or expiration of affiliation with Bambu is the Associate subject to a covenant not to compete?
Bambu Franchise · 2025 FDDAnswer from 2025 FDD Document
Associate covenants and agrees that, for a period of two years after the earlier of (i) the effective date of termination or expiration of Associate's Affiliation with Franchisee or Bambu, or (ii) the effective date of termination or expiration of the Franchisee's Franchise Agreement, neither Associate, nor any member of Associate's immediate family, shall have any direct or indirect interest as a disclosed or a beneficial owner, investor, partner, director, officer, manager, employee, consultant, representative or agent or in any other capacity in any Competitive Business located or operating within a 10 mile radius of the Franchised Location, as defined in the Franchise Agreement governing the Franchised Business, or within 10 miles of any Bambū shoppe owned by Franchisee or an affiliate of Franchisee, or within 10 miles of any other franchised or licensed Bambū shoppe.
If Associate or any member of Associate's immediate family breaches this Section, then the two-year period under this Section shall start on the date that Associate or its family member, as applicable, is enjoined from such activity or ceases such activity, whichever is later.
Source: Item 23 — Receipts (FDD pages 52–209)
What This Means (2025 FDD)
According to Bambu's 2025 Franchise Disclosure Document, an Associate is subject to a post-termination covenant not to compete for a period of two years. This two-year period begins after the earlier of (i) the effective date of termination or expiration of the Associate's affiliation with the Franchisee or Bambu, or (ii) the effective date of termination or expiration of the Franchisee's Franchise Agreement.
During this two-year period, the Associate and their immediate family are prohibited from having any direct or indirect interest in a Competitive Business. This includes being an owner, investor, partner, director, officer, manager, employee, consultant, representative, or agent in any Competitive Business. The restriction applies to businesses located or operating within a 10-mile radius of the Franchised Location, any Bambu shop owned by the Franchisee or its affiliates, or any other franchised or licensed Bambu shop.
If the Associate or their family breaches this non-compete agreement, the two-year period restarts from the date they are either legally stopped from competing or when they voluntarily cease the competitive activity, whichever occurs later. This ensures that Bambu's interests are protected even if a violation occurs and is later addressed.