What section of the Bevaris Alliance Franchise Agreement outlines the non-competition covenants after the Bevaris Alliance franchise is terminated or expires?
Bevaris_Alliance Franchise · 2024 FDDAnswer from 2024 FDD Document
| Provision | Section in Franchise Agreement | Summary |
|---|---|---|
| r. Non-competition covenants | Section 20.1 | You are prohibited for 24 months from expiration or |
| after the franchise is | termination of the franchise from having a connection | |
| terminated or expires | with a competing business. |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 17–18)
What This Means (2024 FDD)
According to Bevaris Alliance's 2024 Franchise Disclosure Document, Section 20.1 of the Franchise Agreement outlines the non-competition covenants that apply after the franchise is terminated or expires. This section states that a franchisee is prohibited for 24 months from the expiration or termination of the franchise from having a connection with a competing business.
This means that upon termination or expiration of the Bevaris Alliance franchise agreement, the franchisee is restricted from engaging with any competing business for a period of 24 months. This restriction applies to any connection with a competing business, which could include ownership, employment, or any other form of involvement.
Non-competition clauses are common in franchise agreements to protect the franchisor's brand and market share. The specific terms, including the duration and scope of the restriction, can vary. It is important for a prospective franchisee to carefully review Section 20.1 of the Franchise Agreement to fully understand the limitations and obligations regarding post-termination competition with Bevaris Alliance.