factual

What is the geographic radius within which a franchisee cannot compete with Body Brain Center?

Body_Brain_Center Franchise · 2025 FDD

Answer from 2025 FDD Document

You agree not to unfairly compete with us at any time while you are an employee, director, officer, member, partner or independent contractor of Franchisee by engaging in any Prohibited Activities.

  • **5.

Unfair Competition After Relationship**.

You agree not to unfairly compete with us during the Restricted Period by engaging in any Prohibited Activities; provided, however, that the Prohibited Activity relating to having an interest in a Competitive Business will only apply with respect to a Competitive Business that is located within a 15 mile radius from Franchisee's Body & Brain Center (including the center itself).

If you engage in any Prohibited Activities during the Restricted Period, then you agree that your Restricted Period will be extended by the period of time during which you were engaging in the prohibited activity.

  • **6.

Immediate Family Members**.

You acknowledge that you could circumvent the purpose of this Agreement by disclosing Know-how to an immediate family member (i.e., spouse, parent, sibling, child, or grandchild).

You also acknowledge that it would be difficult for us to prove whether you disclosed the Know-how to family members.

Therefore, you agree that you will be presumed to have violated the terms of this Agreement if any member of your immediate family (i) engages in any Prohibited Activities during any period of time during which you are prohibited from engaging in the Prohibited Activities or (ii) uses or discloses the Know-how.

However, you may rebut this presumption by furnishing evidence conclusively showing that you did not disclose the Know-how to the family member.

  • **7.

Covenants Reasonable**.

You acknowledge and agree that: (i) the terms of this Agreement are reasonable both in time and in scope of geographic area; and (ii) you have sufficient resources and business experience and opportunities to earn an adequate living while complying with the terms of this Agreement. YOU HEREBY WAIVE ANY RIGHT TO CHALLENGE THE TERMS OF THIS AGREEMENT AS BEING OVERLY BROAD, UNREASONABLE OR OTHERWISE UNENFORCEABLE.

  • **8.

Breach**.

You agree that failure to comply with the terms of this Agreement will cause substantial and irreparable damage to us and/or other Body & Brain franchisees for which there is no adequate remedy at law.

Source: Item 23 — RECEIPT (FDD pages 43–178)

What This Means (2025 FDD)

According to Body Brain Center's 2025 Franchise Disclosure Document, a franchisee is restricted from engaging in unfair competition during the 'Restricted Period'. This restriction applies to any Competitive Business located within a 15-mile radius of the franchisee's Body & Brain Center, including the center itself.

The FDD defines 'Prohibited Activities' as owning, operating, or having any interest in a Competitive Business; diverting business from Body & Brain; selling products or services to existing Body & Brain members or customers without consent; and inducing customers to transfer their business away from Body & Brain. However, owning 5% or less of a publicly traded company that is a Competitive Business is permitted.

The 'Restricted Period' is defined as the two-year period after the franchisee ceases to be an employee, director, officer, member, partner, or independent contractor of the Franchisee. If a court deems this period too long, it will be reduced to one year. Furthermore, if the franchisee engages in any Prohibited Activities during the Restricted Period, that period will be extended by the duration of the prohibited activity. This non-compete agreement also extends to immediate family members, with a presumption of violation if they engage in Prohibited Activities or use disclosed Know-How, unless the franchisee can prove they did not disclose the Know-How.

This non-compete agreement is acknowledged by the franchisee as reasonable in both time and geographic scope, and the franchisee waives any right to challenge its enforceability. Failure to comply with these terms will cause substantial and irreparable damage to Body Brain Center and its franchisees, for which there is no adequate remedy at law.

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.