Can a Boulder Designs franchisee solicit employees of other franchisees after termination?

According to Boulder Designs' 2025 Franchise Disclosure Document, a franchisee is generally not prohibited from soliciting or hiring employees of other Boulder Designs franchisees. However, if a franchisee hires an employee from another franchisee who has attended Boulder Designs' training within 12 months of being hired, the franchisee must pay the other franchisee the then-current training fee of Boulder Designs, as well as the other franchisee's actual costs for sending the employee to training. These costs include travel, lodging, wages, and food. This policy appears designed to compensate franchisees who invest in training their employees if those employees are then hired by another franchisee shortly after the training.

However, the FDD also states that after termination or expiration of the Franchise Agreement, a franchisee cannot solicit or attempt to influence any employee of any other franchisee to terminate or modify their business relationship with the other franchisee. This restriction applies to prevent a former franchisee from poaching employees from the Boulder Designs system to the detriment of other franchisees. The restriction is part of a broader set of conditions that aim to protect the Boulder Designs network and brand integrity after a franchise agreement ends.

In summary, while a Boulder Designs franchisee can generally hire employees from other franchisees during the term of their agreement (subject to a reimbursement of training costs if applicable), they are prohibited from soliciting or inducing employees of other franchisees to leave their positions after the franchise agreement terminates or expires. This post-termination restriction is in place to protect the stability and resources of the remaining Boulder Designs franchise network.