What is the dependency for the Protected Area to be in effect for a Buff City Soap franchise?
Buff_City_Soap Franchise · 2025 FDDAnswer from 2025 FDD Document
(d) Designated Area/Protected Area.
- (1) Franchisee must operate the Makery at a site within the Designated Area.
Upon Franchisor's approval of the Premises and the Parties' execution of Exhibit G identifying the location of the Premises, Franchisee's Protected Area will be described in Exhibit G and deemed incorporated herein.
Except as otherwise provided in this Agreement (including without limitation Franchisor's reserved rights set forth in Section 2(e)), and subject to Franchisee's full compliance with this Agreement and any other agreement between Franchisee or any of its Affiliates and Franchisor or any of its Affiliates, neither Franchisor nor any Affiliate will operate or authorize any Person other than Franchisee to operate a Buff City Soap makery in the Designated Area until Franchisee's Protected Area is identified, and thereafter will not operate or authorize any Person other than Franchisee to operate a Buff City Soap makery in the Protected Area during the Term.
Notwithstanding the foregoing, this Section 2(d) will not apply to any Buff City Soap makeries operating or in development by any Person within the Designated Area as of the Effective Date.
- (2) The Protected Area described above will affect where Franchisee may solicit business sell products and services.
Source: Item 23 — Receipts (FDD pages 69–186)
What This Means (2025 FDD)
According to Buff City Soap's 2025 Franchise Disclosure Document, the Protected Area for a franchisee is dependent on several factors. First, the franchisee must operate the Makery within the Designated Area. The Protected Area is established once Buff City Soap approves the Premises and both parties sign Exhibit G, which identifies the location of the Premises. This exhibit is then incorporated into the Franchise Agreement.
Buff City Soap will not operate or authorize anyone other than the franchisee to operate a Buff City Soap makery in the Designated Area until the Protected Area is identified. After identification, this exclusivity extends to the Protected Area during the term of the agreement, subject to the franchisee's full compliance with the agreement. However, this protection does not apply to any Buff City Soap makeries already operating or in development within the Designated Area as of the Effective Date of the agreement.
The Protected Area affects where the franchisee can actively solicit business and sell products and services. While franchisees can sell to anyone from anywhere, direct solicitation activities must occur within their Protected Area. Franchisees are restricted from marketing outside their Protected Area and from engaging in target marketing within another Buff City Soap Makery's protected area. Buff City Soap retains all rights inside and outside the Protected Area except those expressly granted to the franchisee in the agreement.