Does the Buildingstars non-solicitation agreement prevent a franchisee from encouraging a service provider to alter their relationship with another Buildingstars franchisee?
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's 2025 Franchise Disclosure Document, the non-solicitation agreement does address the relationship between a franchisee and service providers. Specifically, during the term of the Franchise Agreement and for one year after its transfer, expiration, or termination, a Buildingstars franchisee (including their relatives or associates) is restricted from actions that could disrupt the relationships of service providers.
The Buildingstars franchisee is prohibited from contacting, soliciting, or assisting in the contact or solicitation of any service provider. This restriction is explicitly aimed at preventing the franchisee from inducing or encouraging a service provider to terminate or materially alter their employment, engagement, franchise relationship, or other business relationship with Buildingstars, its affiliates, or other franchisees.
This non-solicitation clause is designed to protect Buildingstars's business interests by ensuring stability in its network of service providers and preventing franchisees from poaching or disrupting these relationships. A prospective Buildingstars franchisee should be aware of these restrictions and ensure they understand the limitations on their ability to interact with and potentially recruit service providers within the Buildingstars system.