What is the prohibited action regarding relocating a C12 Group franchise outside of the territory?

According to C12 Group's 2025 Franchise Disclosure Document, franchisees are explicitly prohibited from relocating their business outside of their designated territory under any circumstances. However, franchisees are permitted to relocate their business within the geographic boundaries of their territory at their own expense and discretion.

This restriction is a standard practice in franchising, designed to protect the territorial exclusivity granted to each franchisee. By preventing relocation outside the territory, C12 Group ensures that franchisees do not encroach upon each other's markets, maintaining the integrity of the franchise system. This also helps C12 Group manage and control market development within specific geographic areas.

While franchisees cannot relocate outside their territory, they do have the non-exclusive right to serve individuals who live or work outside their territory but wish to participate in Business Forum meetings hosted within their territory. This allows franchisees to expand their reach and potentially increase their membership base without violating territorial restrictions. Franchisees must adhere to the same exceptions and restrictions that apply to members within their territory when serving those outside of it.

Prospective franchisees should carefully review the defined geographic boundaries of their territory in the Franchise Agreement to understand the scope of their exclusive rights and the limitations on relocation. Understanding these territorial rights and restrictions is crucial for making informed business decisions and avoiding potential conflicts with C12 Group or other franchisees.