Can a Bigfoot Forestry franchisee engage in any Prohibited Activities during the Restricted Period?
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 Bigfoot Forestry's 2025 Franchise Disclosure Document, a franchisee may not engage in any Prohibited Activities during the Restricted Period, with one exception. The FDD states that a franchisee 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.
The document defines "Prohibited Activities" as: owning, operating, or having any interest in a Competing Business (other than owning less than 5% of the Equity Interests in a Competing Business that is a publicly-traded company); disparaging Bigfoot Forestry; diverting business away from Bigfoot Forestry; or inducing someone to transfer their business from Bigfoot Forestry to a competitor.
If a Bigfoot Forestry franchisee engages in any Prohibited Activity during the Restricted Period (other than having an interest in a Competing Business permitted by this Section), the Restricted Period will be extended by the period of time during which they engaged in the Prohibited Activity. The extension of time will not constitute a waiver of the breach or impair any of Bigfoot Forestry's rights or remedies relating to the breach. The franchisee remains 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.