What is the duration of the 'Post-Term Restricted Period' for a Bigfoot Forestry franchisee?
Bigfoot_Forestry Franchise · 2025 FDDAnswer from 2025 FDD Document
- (b) Unfair Competition. You may not engage in any Prohibited Activities at any time: (i) that you are (or your spouse is) an Owner; or (ii) during the Restricted Period. Notwithstanding the foregoing, you may have an interest in a Competing Business during the Restricted Period as long as the Competing Business does not provide competitive services at job sites located in the Restricted Territory. If you engage in any Prohibited Activity during the Restricted Period (other than having an interest in a
Competing Business permitted by this Section) your Restricted Period will be extended by the period of time during which you engaged in the Prohibited Activity. Any such extension of time will not constitute a waiver of your breach or impair any of our rights or remedies relating to your breach. For purposes of clarity, you remain bound by any non-competition covenants in other Definitive Agreements that remain in effect for a period of time that extends beyond the expiration of the Restricted Period under this Agreement, and the expiration of the Restricted Period under this Agreement does not in any way diminish your obligation to comply with such other covenants.
Source: Item 23 — RECEIPT (FDD pages 42–162)
What This Means (2025 FDD)
According to the 2025 Bigfoot Forestry Franchise Disclosure Document, a franchisee is restricted from certain competitive activities during the 'Restricted Period'. The document states that a franchisee may not engage in any prohibited activities at any time that they are an owner or during the restricted period. If a franchisee engages in any prohibited activity during the restricted period, the period will be extended by the amount of time the franchisee engaged in the prohibited activity.
The FDD defines 'Prohibited Activities' as owning, operating, or having an interest in a competing business (with a minor exception for owning less than 5% of a publicly-traded company), disparaging Bigfoot Forestry, diverting business away from Bigfoot Forestry, or inducing someone to transfer their business away from Bigfoot Forestry. The 'Restricted Territory' includes the franchisee's territory and any territory assigned to another Bigfoot Forestry business when the post-term restricted period begins.
It is important to note that the expiration of the restricted period under the agreement does not diminish the franchisee's obligation to comply with any non-competition covenants in other definitive agreements that remain in effect for a period of time that extends beyond the expiration of the restricted period under the agreement.