Must the entity's activities be confined exclusively to operating the Best Brains franchised business?
Best_Brains Franchise · 2025 FDDAnswer from 2025 FDD Document
8. NON-COMPETE AND NO SOLICITATION.
- A. In-Term. You shall not, during the term of this Agreement, directly or indirectly, offer services similar to those offered by a BEST BRAINS learning center, except under this or another franchise agreement with us.
- B. Post-Term. In the event of termination or expiration of this Agreement, including a transfer of the Franchised Business or your interest in it, you will not, directly or indirectly, for a period of two (2) years offer services similar to those offered by a BEST BRAINS learning center at or within 25 miles of your former location or within 25 miles of any BEST BRAINS location.
- C. No Solicitation. In addition, in the event of the termination or expiration of the Agreement, including a transfer of the Franchised Business or your interest in it, you will not for a two (2) year period, within the same geographic area solicit business for a learning center from any customer of the Franchised Business. If the duration, scope and/or geographic area set forth in this paragraph and Agreement are held to be unreasonable and therefore unenforceable by any court of competent jurisdiction, then the duration, scope and/or geographic area of the foregoing restrictions and agreements shall remain in full force and effect as to such maximum duration, scope and/or geographic area as the court shall allow.
Source: Item 23 — RECEIPTS (FDD pages 42–190)
What This Means (2025 FDD)
According to Best Brains' 2025 Franchise Disclosure Document, franchisees are restricted from offering services similar to Best Brains during the term of the agreement, unless it's under another franchise agreement with them. Specifically, Item 23 outlines a non-compete clause that prevents franchisees from directly or indirectly offering similar services to a Best Brains learning center during the agreement term.
Following the termination or expiration of the franchise agreement, including a transfer of the business, the franchisee is restricted for two years. During this time, they cannot offer similar services within 25 miles of their former Best Brains location or any other Best Brains location.
Additionally, the franchisee is prohibited from soliciting business from existing Best Brains customers within the same geographic area for a learning center for a period of two years after termination or expiration of the agreement. These restrictions ensure that franchisees focus on the Best Brains business during the term and prevent unfair competition afterward.