Does the Beem Light Sauna General Release specify a geographic limit to the release of claims?
Beem_Light_Sauna Franchise · 2025 FDDAnswer from 2025 FDD Document
- **5.
Noncompete After Association Ends.** For two years after your association with us ends for any reason, you will be subject to the same restrictions as in Section 4, except the restrictions in Sections 4(a) and 4(b) will be geographically limited to any Competitive Business that is located within a 10-mile radius of our Studio or any other Studio that is operating or under development at the time your association with us ends.
- **6.
Remedies**.
If you breach or threaten to breach this Agreement, you agree that we will be entitled to injunctive relief (without posting bond) as well as a suit for damages.
- **7.
Severability.** If any part of this Agreement is declared invalid for any reason, the invalidity will not affect the remaining provisions of this Agreement.
Source: Item 23 — RECEIPT (FDD pages 71–230)
What This Means (2025 FDD)
According to the 2025 Beem Light Sauna FDD, the franchise agreement includes a noncompete clause that contains geographic limitations under certain conditions. Specifically, for two years after the franchise agreement ends, a franchisee is restricted from engaging in any Competitive Business within a 10-mile radius of a Beem Light Sauna studio. This restriction applies to any studio that is operating or under development at the time the franchise agreement terminates.
This means that after the franchise relationship ends, the franchisee cannot own, manage, or be involved with a competing business, such as another sauna studio or a business offering similar services, within that 10-mile radius. This geographic limitation only applies after the franchise relationship ends.
During the term of the franchise agreement, the noncompete restrictions apply throughout the United States. The FDD states that franchisees are restricted from involvement with a Competitive Business at any location in the United States during the term of their agreement. This is a significant restriction that could limit a franchisee's business activities even outside of their immediate territory during the active term of the franchise.