Are there any geographic limitations on the customers a Best Brains franchisee can access?
Best_Brains Franchise · 2025 FDDAnswer from 2025 FDD Document
- 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 16 — RESTRICTIONS ON WHAT THE FRANCHISEE MAY SELL (FDD page 31)
What This Means (2025 FDD)
According to Best Brains' 2025 Franchise Disclosure Document, there are geographic limitations regarding soliciting customers after the franchise agreement terminates or expires. Specifically, for a period of two years, a former franchisee cannot solicit business from any customer of the Franchised Business within the same geographic area. This restriction applies in the event of termination or expiration of the Franchise Agreement, including a transfer of the Franchised Business or the franchisee's interest in it.
This non-solicitation clause means that a Best Brains franchisee, upon leaving the system, is restricted from actively pursuing clients who were previously served by their franchise location. The term 'geographic area' is not explicitly defined in this section, which could lead to ambiguity and potential disputes. It is important to note that the agreement also states that if any part of the non-compete terms are deemed unreasonable by a court, the restrictions will be adjusted to the maximum extent allowable by the court.
For a prospective Best Brains franchisee, this implies that building strong customer relationships is crucial, but those relationships cannot be leveraged to start a competing business immediately after leaving the franchise system. Understanding the definition of 'geographic area' and how it is interpreted by Best Brains is essential to avoid future conflicts. A prospective franchisee should seek clarification on this term and consider the potential impact of this restriction on their future business endeavors.