factual

As a Boulder Designs franchisee, what is prohibited regarding other business activities?

Boulder_Designs Franchise · 2025 FDD

Answer from 2025 FDD Document

  • 6.3 own, maintain, advise, operate, engage in, be employed by, make loans to, invest in, provide any assistance to, or have any interest in (as owner or otherwise) or relationship or association with, any business conducting landscape architecture or outdoor living construction services, other than another Boulder Designs franchise operated pursuant to a valid franchise agreement with Franchisor.

This restriction shall apply, while I am an Owner, to any location within the United States, its territories or commonwealths, or any other country, province, state or geographic area in which Franchisor or its Affiliates have used, sought registration of or registered the Marks or similar marks or operate or license others to operate a business under the Marks or similar marks.

It will apply for two years after I cease to be an Owner (or two years after termination or expiration of the Franchise Agreement, whichever occurs first) to any location that is, or is intended to be, located in the Territory (as defined in the Franchise Agreement) or market area of any other business operating under the Boulder Designs System and Marks.

If the two-year restrictive period would be unenforceable under applicable law as an unreasonable restraint of trade, then such restriction is modified to prohibit you and each Owner, as applicable, from soliciting or providing services, during said two-year period, to any client previously serviced by the Franchised Business.

This two-year restriction will be tolled during any period of my noncompliance.

Source: Item 22 — CONTRACTS (FDD page 50)

What This Means (2025 FDD)

According to Boulder Designs' 2025 Franchise Disclosure Document, as a franchisee, you are restricted from certain business activities, both during the term of your franchise agreement and for a period after its termination or expiration.

During the time you are an owner, you cannot own, maintain, advise, operate, engage in, be employed by, make loans to, invest in, provide assistance to, or have any interest in any business conducting landscape architecture or outdoor living construction services, other than another Boulder Designs franchise. This restriction applies to any location within the United States, its territories, or any other country where Boulder Designs or its affiliates operate, have registered trademarks, or have sought registration of trademarks.

For two years after you cease to be an owner or after the termination or expiration of the Franchise Agreement (whichever occurs first), you are restricted from the same activities within the territory or market area of any other business operating under the Boulder Designs system. If this two-year restrictive period is deemed unenforceable under applicable law as an unreasonable restraint of trade, the restriction is modified to prohibit you from soliciting or providing services to any client previously serviced by your franchised business during that two-year period. This two-year restriction will be tolled during any period of noncompliance.

These restrictions are designed to protect Boulder Designs' market and brand integrity by preventing franchisees from directly competing with the system, especially using knowledge and resources gained during their time as a franchisee. Prospective franchisees should carefully consider these limitations and how they might affect their future business endeavors before entering into a franchise agreement with Boulder Designs.

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.