Does the Buildingstars franchise agreement prevent a franchisee from providing janitorial services to entities that are not Buildingstars customers?
Buildingstars Franchise · 2025 FDDAnswer from 2025 FDD Document
For the sake of clarity, nothing herein is to restrict FRANCHISEE from providing janitorial/cleaning services to any entity or person that is not a Customer; provided however, that the foregoing shall not alter FRANCHISEE's obligations, including but not limited to Section IX above, under this Agreement.
Source: Item 22 — CONTRACTS (FDD page 43)
What This Means (2025 FDD)
According to Buildingstars's 2025 Franchise Disclosure Document, the franchise agreement does not restrict a franchisee from providing janitorial services to entities or persons that are not Buildingstars customers. However, this allowance does not alter the franchisee's other obligations under the agreement, including those outlined in Section IX.
Section IX likely contains confidentiality and trade secret clauses, as well as non-compete and non-solicitation agreements. Therefore, while a Buildingstars franchisee can offer janitorial services to non-Buildingstars customers, they must still uphold their responsibilities regarding confidential information, trade secrets, and restrictions on soliciting Buildingstars' existing customers or service providers.
This provision aims to clarify that Buildingstars franchisees are not entirely restricted from operating outside the Buildingstars customer base, offering them some flexibility in their business operations. However, it is crucial for prospective franchisees to carefully review Section IX of the franchise agreement to fully understand the scope of their obligations and restrictions, even when serving non-Buildingstars customers. This ensures they do not inadvertently breach the agreement.