Is a C12 Group Franchisee allowed to host meetings outside of their designated territory?
C12_Group Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee will have the exclusive right to establish a C12 Group business within the Territory and to market C12 Group services, programs, and materials within the Territory.
Franchisee shall not host C12 Group meetings outside of the Territory. Franchisee may provide C12 Group services to members who live or work outside of the Territory but desire to participate in C12 Group meetings within the Territory. Similarly, individuals living within the Territory may engage with C12 Group businesses operated by other franchisees or Franchisor and its affiliates. Franchisee must reside within the Territory unless Franchisor approves otherwise in writing. Franchisee may only establish additional territories with Franchisor's written permission and by meeting Franchisor's then-current requirements for operating a C12 Group business within multiple territories. Franchisee shall not solicit current or prospective members who live and work outside of the Territory. If Franchisee is contacted by any prospective members who live and work outside of the Territory, Franchisee must inform such prospective members that there is another C12 Group business forum option (if applicable) and provide such prospective members with contact information of the C12 franchisee whose Territory the prospective members live and work within.
Source: Item 22 — CONTRACTS (FDD page 46)
What This Means (2025 FDD)
According to the 2025 C12 Group Franchise Disclosure Document, a franchisee is generally restricted from hosting C12 Group meetings outside of their designated territory. The franchisee has the exclusive right to establish a C12 Group business and market its services within their assigned territory. However, the franchisee may provide services to members who live or work outside of their territory, as long as those members participate in meetings within the franchisee's territory.
This territorial restriction ensures that each C12 Group franchisee can focus on developing their business within a specific geographic area without direct competition from other franchisees. It also helps maintain a clear division of responsibilities and market coverage within the C12 Group franchise system. Franchisees are also prohibited from soliciting current or prospective members who live and work outside of their territory. If contacted by prospective members outside their territory, franchisees must inform them of other C12 Group options and provide contact information for the relevant franchisee.
While franchisees are generally restricted from operating outside their territory, the FDD states that individuals living within a franchisee's territory may engage with C12 Group businesses operated by other franchisees or the franchisor. Furthermore, a franchisee must reside within their territory unless the C12 Group approves otherwise in writing. To establish additional territories, a franchisee needs written permission from the C12 Group and must meet the then-current requirements for operating in multiple territories.