In the Buildingstars agreement, what term is used to refer to Buildingstars Management, Inc.?
Buildingstars Franchise · 2025 FDDAnswer from 2025 FDD Document
For purposes of this Agreement, the following terms shall have the meaning as set forth below and the definitions constitute an integral part of this Agreement:
- A. "Affiliate" means any and all entities that are or may control, be controlled by, or under common ownership with BUILDINGSTARS including but not limited to Buildingstars, Inc. (f/k/a Advantage Building Services, Inc.), Buildingstars Operations, Inc. (f/k/a Buildingstars STL Operations, Inc.), Buildingstars International, Inc., Green Sky Franchise Group, Inc., Facility Brands, Inc. and Green Sky Southwest, Inc.
Source: Item 22 — CONTRACTS (FDD page 43)
What This Means (2025 FDD)
According to Buildingstars' 2025 Franchise Disclosure Document, the term "Affiliate" is used to refer to entities that control, are controlled by, or are under common ownership with Buildingstars. This definition includes, but is not limited to, Buildingstars, Inc. (f/k/a Advantage Building Services, Inc.), Buildingstars Operations, Inc. (f/k/a Buildingstars STL Operations, Inc.), Buildingstars International, Inc., Green Sky Franchise Group, Inc., Facility Brands, Inc. and Green Sky Southwest, Inc.
For a prospective Buildingstars franchisee, understanding the definition of "Affiliate" is crucial because it clarifies the scope of entities related to the franchisor. This understanding can impact various aspects of the franchise agreement, such as customer non-solicitation clauses, rights reserved by Buildingstars and its affiliates, and the overall competitive landscape within which the franchisee operates.
The agreement stipulates that franchisees cannot interfere with, service, or solicit customers of Buildingstars, its affiliates, or their franchisees, independent contractors, or licensees. Buildingstars and its affiliates retain the right to operate and franchise or license others to operate businesses using the System and/or Marks anywhere, including within and outside the franchisee's designated area. They can also operate similar businesses under different marks or systems. This broad reservation of rights means that Buildingstars and its affiliates have significant latitude in how they conduct business, potentially impacting a franchisee's market and customer base.
Buildingstars and its Affiliates are also authorized to sell some or all of the products and services authorized for sale by the Business in any channel of distribution, including but not limited to the wholesale sales of products and/or to provide management and/or consulting services using the System and/or the Marks. Therefore, it is important for a franchisee to understand the full scope of Buildingstars' and its affiliates' rights and activities to assess potential competition and market dynamics.