What is defined as the 'Franchisee's Territory' for a Beggars Pizza restaurant?
Beggars_Pizza Franchise · 2025 FDDAnswer from 2025 FDD Document
Except as otherwise provided in the Agreement, Franchisor will not establish or operate, nor license any other person to establish or operate, a Beggars Pizza® restaurant under the System and the Proprietary Marks at any location within the territory described in Exhibit A ("Franchisee's Territory"), during the term of the Agreement.
Franchisor and its affiliates further retain the rights, among others, on any terms and conditions Franchisor deems advisable, and without granting Franchisee any rights therein:
1.3.1 To establish and operate, and license others to establish and operate, a Beggars Pizza® restaurant under the System and the Proprietary Marks at any location outside Franchisee's Territory;
1.3.2 To accept delivery orders and deliver, and allow other franchisees to accept delivery orders and deliver, any products (including, without limitation, products sold at the Restaurant) in Franchisee's Territory;
1.3.3 To establish and operate, and license other parties to establish and operate, Beggars Pizza® restaurants under the System and Proprietary Marks in Franchisee's Territory at any existing or future (a) shopping malls, (b) airports, (c) bus and train depots and other transportation terminals, (d) entertainment facilities (including, without limitation, sports stadiums) and theme parks, and (e) rest stops, plazas, and similar locations accessible from limited access highways;
1.3.4 To directly or indirectly sell or distribute, or license others to sell or distribute, products that are the same as or similar to those offered under the System and any other products or services at any location other than a Beggars Pizza® restaurant (notwithstanding its proximity to the Approved Location) whether within or outside Franchisee's Territory under the same or different Proprietary Marks including, without limitation, sales made at supermarkets,
convenience stores, markets, and grocery stores, and over the Internet and/or other on-line networks and other communications methods now or hereafter devised of any nature whatsoever;
Source: Item 22 — CONTRACTS (FDD page 39)
What This Means (2025 FDD)
According to Beggars Pizza's 2025 Franchise Disclosure Document, the 'Franchisee's Territory' is defined in Exhibit A of the Franchise Agreement. During the term of the agreement, Beggars Pizza will not establish or operate, nor license anyone else to establish or operate, a Beggars Pizza restaurant under their system and trademarks within this territory, except as otherwise provided in the agreement.
However, Beggars Pizza retains several rights within and outside the franchisee's territory. They can establish and operate Beggars Pizza restaurants, or license others to do so, at any location outside the franchisee's territory. They can also accept delivery orders and deliver products, and allow other franchisees to do the same, within the franchisee's territory. Additionally, Beggars Pizza can establish or license restaurants within the franchisee's territory at locations such as shopping malls, airports, transportation terminals, entertainment facilities like sports stadiums and theme parks, and rest stops accessible from limited access highways.
Beggars Pizza also retains the right to sell or distribute products, or license others to do so, that are similar to those offered under the Beggars Pizza system at any location other than a Beggars Pizza restaurant, regardless of its proximity to the approved location or whether it's within or outside the franchisee's territory. This includes sales made at supermarkets, convenience stores, markets, grocery stores, and over the Internet or other online networks. This means that while a franchisee has a defined territory, Beggars Pizza retains significant rights to operate and license others in various locations and through different channels, even within that territory, which could impact the franchisee's business.