factual

What must a Body Brain Center franchisee cease using after termination or expiration?

Body_Brain_Center Franchise · 2025 FDD

Answer from 2025 FDD Document

THE FRANCHISE RELATIONSHIP
PROVISION SUMMARY
r. Non-competition covenants after the franchise is terminated or expires Section 14.4 [See also Section 5 of Training Agreement] No involvement for 2 years in competing business within 15 miles of any Body & Brain Center or Dahn Yoga Center; comply with non-solicitation and non-disclosure covenants; cease use of know-how and trade secrets. If you sign a Training Agreement but do not sign a Franchise Agreement, you will be subject to similar obligations under Section 5 of the Training Agreement.
SSA: Section 4.4 May not reverse engineer, decompile, reproduce, publish, sell, sublicense, transfer, rent or distribute the software.

Source: Item 17 — RENEWAL**, TERMINATION, TRANSFER, **AND DISPUTE RESOLUTION (FDD pages 34–38)

What This Means (2025 FDD)

According to the 2025 Body Brain Center Franchise Disclosure Document, after the franchise is terminated or expires, the franchisee must cease use of know-how and trade secrets. Additionally, the franchisee must comply with non-solicitation and non-disclosure covenants and avoid involvement for 2 years in a competing business within 15 miles of any Body & Brain Center or Dahn Yoga Center. These obligations are detailed in Section 14.4 of the Franchise Agreement and Section 5 of the Training Agreement.

This means that upon termination or expiration of the franchise agreement, a former Body Brain Center franchisee cannot use any confidential information or trade secrets learned during their time as a franchisee. This includes proprietary methods, techniques, and business strategies. The franchisee is also restricted from soliciting employees or customers of Body Brain Center and must maintain the confidentiality of sensitive information.

The non-compete clause further restricts the franchisee's ability to operate a similar business within a specific geographic area for a defined period. This is a common practice in franchising to protect the brand and market share of the franchisor and other franchisees. The restrictions apply for two years within a 15-mile radius of any Body & Brain Center or Dahn Yoga Center.

It is important for prospective Body Brain Center franchisees to carefully review these post-termination obligations, as they can significantly impact their future business opportunities. Franchisees should seek legal counsel to fully understand the scope and enforceability of these covenants before signing the franchise agreement. The obligations also extend to individuals who sign a Training Agreement but do not proceed to sign a Franchise Agreement, highlighting the importance of understanding the terms of all agreements with Body Brain Center.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.