What specific brain-based education services are included in the non-compete agreement for Body Brain Center?
Body_Brain_Center Franchise · 2025 FDDAnswer from 2025 FDD Document
how to any person at any time; (iii) will not make unauthorized copies of any portion of the Know-how disclosed in written or electronic form; and (iv) will adopt and implement all reasonable procedures that we require to prevent unauthorized use or disclosure of any of the Know-how.
- 5.2 Unfair Competition. For a period of two (2) years after you complete the training program, you agree that you will not compete with us or other Body & Brain franchisees, whether directly or indirectly. For purposes of the preceding sentence, you will be deemed to compete with us if you acquire, develop, own, operate, maintain or have any interest (including as an owner, partner, director, officer, employee, manager, consultant, shareholder, representative or agent) in any business that: (i) provides brain based education, Yoga, Taichi or Qi-Gong;
Source: Item 23 — RECEIPT (FDD pages 43–178)
What This Means (2025 FDD)
According to the 2025 Body & Brain Center Franchise Disclosure Document, the non-compete agreement restricts franchisees from engaging in businesses that provide specific services. The agreement specifies that for two years after completing the training program, a franchisee cannot be involved in any business that offers brain-based education, Yoga, Taichi, or Qi-Gong. This restriction applies if the competitive business is located within a 15-mile radius of any Body & Brain Center or Dahn Yoga Center that is already operating or under construction at the time the Franchise Agreement is signed.
This non-compete clause prevents franchisees from directly competing with Body & Brain Center or other franchisees within a defined geographical area and for a specific duration. However, the agreement does allow a franchisee to hold a minor stake in a publicly traded company that might be considered a competitor, setting the limit at five percent (5%) or less ownership. This exception acknowledges that franchisees may have investment interests without necessarily engaging in direct competition.
The Brand Protection Agreement further defines a "Competitive Business" as any business that competes with Body & Brain Center (or its affiliates or franchisees) by providing brain-based education, Yoga, Taichi, or Qi-Gong. This definition reinforces the scope of activities that are considered competitive and therefore restricted under the agreement. This ensures that franchisees are clear on what constitutes a competitive business and what activities they must avoid to remain in compliance with the franchise agreement.