Where in the Basecamp Fitness Franchise Agreement can I find information about the franchisee's covenants not to compete?

According to Basecamp Fitness's 2025 Franchise Disclosure Document, information regarding covenants not to compete can be found in Section 17.B of the Franchise Agreement. Specifically, the North Dakota Addendum to the Franchise Agreement addresses the enforceability of these covenants within that state.

For prospective Basecamp Fitness franchisees, it's important to understand the implications of non-compete clauses, as they can restrict your ability to engage in similar business activities during and after the franchise term. The enforceability of these clauses can vary significantly by state, as highlighted by the North Dakota addendum, which states that such covenants are generally considered unenforceable in North Dakota.

Furthermore, the California Addendum indicates that the Franchise Agreement contains a covenant not to compete that extends beyond the termination of the franchise, but this provision may not be enforceable under California law. This means that depending on the state where the franchise is located, the franchisee may or may not be bound by the non-compete agreement after the franchise agreement is terminated.

Therefore, it is crucial for potential Basecamp Fitness franchisees to carefully review Section 17.B of the Franchise Agreement, along with any state-specific addenda, and to seek legal counsel to fully understand the scope and enforceability of the non-compete provisions in their particular jurisdiction.