What is the definition of 'Service Provider' in the Buildingstars franchise agreement?
Buildingstars Franchise · 2025 FDDAnswer from 2025 FDD Document
ility companies, or other entities or otherwise perform any services for, engage in or acquire, be an employee of, have any financial interest in, loan money to, or have any interest based on profits or revenues of, any cleaning service business or janitorial business within the Area or within any 10 mile
area where BUILDINGSTARS or any Affiliate, franchisee or licensee of BUILDINGSTARS is operating.
B. Non-Solicitation.
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- FRANCHISEE agrees that during the term of this Agreement and for one (1) year after the Transfer, expiration or termination for any reason of this Agreement or the entry of a final order of a court of competent jurisdiction enforcing this covenant, whichever is later, FRANCHISEE and any of its relatives, or associates, shall not, directly or indirectly, for FRANCHISEE or for any other person or entity (except BUILDINGSTARS):
- a.
Source: Item 22 — CONTRACTS (FDD page 43)
What This Means (2025 FDD)
According to Buildingstars' 2025 Franchise Disclosure Document, a franchisee is prohibited from contacting or soliciting any 'Service Provider' for the purpose of encouraging them to terminate or alter their relationship with Buildingstars, its affiliates, or other franchisees. However, the FDD does not explicitly define the term 'Service Provider'.
Without a clear definition in the FDD, it is unclear who or what constitutes a 'Service Provider' in the context of the Buildingstars franchise agreement. This ambiguity could create uncertainty for franchisees regarding their interactions with individuals or entities that provide services to Buildingstars or its network.
A prospective Buildingstars franchisee should seek clarification from the franchisor regarding the scope and meaning of 'Service Provider' to fully understand the restrictions and obligations outlined in the franchise agreement. Understanding this term is crucial to avoid unintentionally violating the non-solicitation clauses and potentially facing legal consequences.