Does the restriction on soliciting National Accounts customers apply within a Brightstar Care franchisee's Protected Territory?
Brightstar_Care Franchise · 2025 FDDAnswer from 2025 FDD Document
Periodically designate National Accounts. We have the exclusive right to negotiate (iv) and enter into agreements or approve forms of agreements providing supplemental healthcare staff or healthcare and homecare services to institutional clients and comprehensive care to any business which owns, manages, controls, services or otherwise has responsibility for services in more than one protected territory of our franchisees, regardless of the aggregate contract amount of the services you want to perform (a "National Accounts Customer"). We may designate an account as a National Accounts customer, in our sole discretion at any time, and our determination will be final and binding. Upon completion of your initial training, you must sign up for all National Accounts business and service any National Accounts business we refer to you in accordance with the terms of the National Accounts contract and the guidelines contained in the Operations Manual, including any service requirements based upon National Accounts gross margin percentages contained in the Operations Manual. You may not solicit business from, provide services to, or negotiate rates directly with any National Accounts customer without our express prior authorization, which consent will not be unreasonably withheld. The restrictions in this section (iv) apply anywhere, including within your Protected Territory.
Source: Item 12 — TERRITORY (FDD pages 67–75)
What This Means (2025 FDD)
According to Brightstar Care's 2025 Franchise Disclosure Document, the restriction on soliciting National Accounts customers applies anywhere, including within a franchisee's Protected Territory. Brightstar Care has the exclusive right to negotiate and enter into agreements for healthcare services to institutional clients or businesses responsible for services in multiple protected territories, which are designated as "National Accounts Customers."
Brightstar Care may designate an account as a National Accounts customer at any time, and this determination is final. Franchisees must sign up for all National Accounts business after initial training and service any National Accounts business referred to them, according to the National Accounts contract and Operations Manual guidelines. Franchisees are prohibited from soliciting business from, providing services to, or negotiating rates directly with any National Accounts customer without Brightstar Care's express prior authorization.
If a Brightstar Care franchisee declines to service a National Accounts customer without prior authorization, or if a customer complaint is not resolved, Brightstar Care can provide services directly to that customer within the franchisee's Protected Territory or allow another franchisee or service provider to do so. This restriction ensures Brightstar Care maintains control over National Accounts and can ensure consistent service across multiple locations, even within a franchisee's exclusive territory.