After the termination or expiration of a Bojangles franchise agreement, what is the geographic scope of the non-competition covenant for a standard Franchise Agreement (FA)?
Bojangles Franchise · 2025 FDDAnswer from 2025 FDD Document
| Provision | Section in Agreement | Summary |
|---|---|---|
| r. Non-competition | FA: Section XVI. | No involvement for 2 years in any restaurant business |
| covenants after the | IFA: Section XVII. | that competes with any Bojangles Restaurant or which |
| franchise is terminated | RFA: Section XVI. | sells fried chicken, biscuits and/or biscuit sandwiches or |
| or expires | other items which are featured menu items at Bojangles | |
| Restaurants within 10 miles of your Restaurant or any | ||
| Bojangles Restaurant that is open, planned for | ||
| construction or under construction as of the termination | ||
| or expiration of the agreement; no involvement in any | ||
| fast food restaurant business located within 10 miles of | ||
| the Restaurant or any Bojangles Restaurant that is open, | ||
| planned for construction or under construction as of the | ||
| termination or expiration of the agreement or within the | ||
| DMA within which your Restaurant is located. |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 55–63)
What This Means (2025 FDD)
According to Bojangles's 2025 Franchise Disclosure Document, if a franchisee's standard Franchise Agreement (FA) is terminated or expires, they are subject to a non-competition covenant. This covenant restricts their involvement for two years in any restaurant business that competes with Bojangles.
The geographic scope of this restriction includes businesses that sell fried chicken, biscuits, biscuit sandwiches, or other featured menu items at Bojangles Restaurants. This applies within 10 miles of the franchisee's former restaurant or any other Bojangles location that is open, planned for construction, or under construction at the time of termination or expiration.
Additionally, the franchisee cannot be involved in any fast food restaurant business located within 10 miles of their former restaurant or any Bojangles Restaurant that is open, planned for construction, or under construction at the time of termination or expiration. The non-compete also extends to the Designated Market Area (DMA) in which the franchisee's restaurant is located. This means a former franchisee is restricted from operating a competing business within a potentially large geographic area, depending on the DMA.