In the Body20 franchise agreement, what sections define the site and territory, respectively?
Body20 Franchise · 2025 FDDAnswer from 2025 FDD Document
Schedule 1 to Appendix A of the Franchise Agreement
Franchisee-Specific Terms
(to be completed after site selection and acceptance)
- 1. Site (Section 4.1):
- 2. Territory (Section 4.2): The Territory, if any, will be specified by us by written notice to you after the Site has been selected and will be an area that we specify surrounding the Site.
BODY20 Franchisor LLC agrees that, effective on the date specified below, (i) the address listed above is hereby accepted by us as the Site pursuant to Section 4.1 (Site Selection) of this Agreement; and (ii) the area listed above shall be the Territory of this Agreement pursuant to Section 4.2 (Definition of the Territory) of this Agreement. BODY20 FRANCHISOR LLC By: Name: Title: Date: Acknowledged and Agreed: By: Name: Title: Date:
Section 4 Site Selection, Development, and Opening of Studio
- 4.1 Site Selection.
If you identify a site in the Site Selection Area on your own that is reasonably suited for the conduct of the Studio and is consistent with any site selection guidelines that we may provide, before entering into any lease or purchase agreement for the site, you must submit a site proposal package describing details about the proposed site and provide any other information that we reasonably require.
We will review each site that we, our designated broker, or you identify and determine whether to accept it using our proprietary site selection assistance criteria.
You acknowledge that we may refuse to accept a proposed site for any reason.
If we accept the proposed site and you obtain it, we will insert a description of the specific location on Schedule 1 to Appendix A. **YOU ACKNOWLEDGE AND AGREE THAT OUR ACCEPTANCE OR PROPOSAL OF A PROPOSED SITE IS NOT A WARRANTY OR REPRESENTATION OF ANY KIND AS TO THE POTENTIAL SUCCESS OR PROFITABILITY OF YOUR STUDIO.
WHILE WE MAY PROVIDE ASSISTANCE AND GUIDANCE, IT IS SOLELY YOUR RESPONSIBILITY TO SELECT A SUITABLE SITE FOR THE STUDIO.** The address listed on Schedule 1, if completed and signed by us, will be the "Site" referred to in this Agreement.
A site is not accepted until you have received our acceptance in writing, as indicated by our delivery of the completed and signed Schedule 1.
- 4.2 Definition of the Territory.
Once the Site has been accepted, we will identify your Territory in Schedule 1 to Appendix A based on the factors that we deem relevant, in our sole discretion, which might include demographics, the character and location of the Site, and nearby businesses and residences.
Once we have defined the Territory, you will have no territorial or other rights in those portions of the Site Selection Area that are outside the Territory.
You must return to us upon our request a signed copy of Schedule 1 to Appendix A acknowledging the Territory we have designated.
Source: Item 23 — RECEIPT (FDD pages 74–251)
What This Means (2025 FDD)
According to the 2025 Body20 Franchise Disclosure Document, the franchise agreement specifies the site in Section 4.1 and the territory in Section 4.2. Both sections are part of Schedule 1 to Appendix A of the Franchise Agreement, which covers franchisee-specific terms. The exact site location is inserted into Schedule 1 to Appendix A once Body20 accepts the proposed site. The address listed on Schedule 1, if completed and signed by Body20, will be the "Site" referred to in the agreement.
Body20 identifies the territory in Schedule 1 to Appendix A after the site has been accepted. The factors Body20 uses to determine the territory include demographics, the character and location of the site, and nearby businesses and residences. The franchisee has no territorial rights outside the defined territory within the Site Selection Area once the territory is defined. The franchisee must return a signed copy of Schedule 1 to Appendix A to acknowledge the designated territory upon Body20's request.
It is important for a prospective Body20 franchisee to understand that Body20's acceptance of a proposed site is not a warranty or representation of any kind as to the potential success or profitability of the studio. While Body20 may provide assistance and guidance, it is solely the franchisee's responsibility to select a suitable site for the studio.