What is the prohibited action regarding hosting C12 Group meetings outside of the territory?
C12_Group Franchise · 2025 FDDAnswer from 2025 FDD Document
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 C12 Group's 2025 Franchise Disclosure Document, a franchisee is not allowed to host C12 Group meetings outside of their designated territory. However, the franchisee can provide C12 Group services to members who live or work outside of their territory, as long as those members participate in C12 Group meetings within the franchisee's territory.
This territorial restriction ensures that each C12 Group franchisee has an exclusive area to operate and market their services. It prevents franchisees from encroaching on each other's territories and helps maintain a clear division of responsibilities and market areas within the C12 Group franchise system.
This policy also allows individuals living within a specific territory to engage with C12 Group businesses operated by other franchisees or the franchisor, providing flexibility for members to choose the group that best suits their needs. However, franchisees are prohibited from soliciting current or prospective members who live and work outside of their territory, reinforcing the territorial exclusivity.