Can Big Blue Swim School allow other franchisees to operate Big Blue Swim Schools outside the Area of Protection?
Big_Blue_Swim_School Franchise · 2025 FDDAnswer from 2025 FDD Document
Except for your location exclusivity with respect to the BIG BLUE Swim School Swim School Concept described in Section 3.C above, we and our affiliates retain all rights with respect to BIG BLUE Swim Schools, the Marks, the offer and sale of similar or dissimilar services and products, and any other activities we and they deem appropriate, whenever and wherever we and they desire, whether inside or outside the Area of Protection. Specifically, but without limitation, we and our affiliates reserve the following rights:
- (1) to own and operate, and to allow other franchisees and licensees to own and operate, BIG BLUE Swim Schools (whether or not operating the Swim School Concept) at any locations outside the Area of Protection (including at the boundary of the Area of Protection) and on any terms and conditions we and they deem appropriate;
Source: Item 22 — CONTRACTS (FDD pages 75–76)
What This Means (2025 FDD)
According to the 2025 Big Blue Swim School Franchise Disclosure Document, Big Blue Swim School retains the right to allow other franchisees to operate Big Blue Swim Schools outside of a franchisee's Area of Protection. Specifically, Big Blue Swim School and its affiliates reserve the right to allow other franchisees and licensees to operate Big Blue Swim Schools at any locations outside the Area of Protection, including at the boundary of the Area of Protection, under terms and conditions they deem appropriate.
This means that while a franchisee is granted an Area of Protection, Big Blue Swim School can still establish or permit other franchisees to open Big Blue Swim School locations outside that area. This could potentially lead to competition from other Big Blue Swim School locations near the edges of a franchisee's protected territory.
This reservation of rights gives Big Blue Swim School significant flexibility in expanding its brand and market presence. A prospective franchisee should carefully consider the defined Area of Protection and the potential for other Big Blue Swim School locations to be established nearby, which could impact their business.