What restrictions are placed on Boulder Designs regarding soliciting or hiring employees of franchisees in Washington?
Boulder_Designs Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee is not prohibited from soliciting or hiring other BOULDER DESIGN franchisee's employees. If Franchisee employs another BOULDER DESIGN franchisee's employee who has attended Franchisor's training within 12 months of the hire date with Franchisee, Franchisee shall pay to the other franchisee the then-current training fee of Franchisor plus the other franchisee's actual costs for sending its employee to training, including but not limited to travel costs, lodging, wages, and food.
Section 13.17 Legal Compliance
Source: Item 22 — CONTRACTS (FDD page 50)
What This Means (2025 FDD)
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 Boulder Designs franchisee who has attended the franchisor's 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, but are not limited to, travel, lodging, wages, and food.
Notably, the FDD includes a notice for prospective franchisees who reside in, or intend to operate the franchised business in the state of Washington, stating: "DO NOT COMPLETE THIS QUESTIONNAIRE OR TO RESPOND TO ANY OF THE QUESTIONS IN THIS QUESTIONNAIRE." This suggests that there may be additional state-specific regulations or considerations for franchisees in Washington, although the document does not explicitly detail what those are.
It is important for prospective franchisees in Washington to seek clarification from Boulder Designs regarding any specific restrictions or obligations related to soliciting or hiring employees of other franchisees in light of the notice provided in the FDD. This will ensure full compliance with all applicable regulations and avoid potential disputes between franchisees.