Are there any geographic limitations mentioned in the text concerning C12 Group contracts?
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, there are indeed geographic limitations placed on franchisees. C12 Group grants franchisees the exclusive right to operate within a defined territory, which is described in a map and list of zip codes attached to the franchise agreement. Franchisees are restricted from hosting C12 Group meetings outside of their designated territory. However, they can provide services to members who live or work outside the territory but wish to attend meetings within it.
Conversely, individuals residing within a franchisee's territory are not restricted from engaging with C12 Group businesses operated by other franchisees or the franchisor. Franchisees themselves must reside within their territory unless they receive written approval from C12 Group to live elsewhere. Expanding into additional territories requires written permission from C12 Group and adherence to their current requirements for multi-territory operations.
Furthermore, franchisees are prohibited from soliciting current or prospective members who live and work outside their assigned territory. If contacted by potential members from outside the territory, franchisees must inform them about other C12 Group options and provide contact information for the franchisee in whose territory the prospective members reside and work. These territorial restrictions are designed to protect each franchisee's market area and prevent overlap or competition between franchisees.