For Canine Dimensions, what constitutes a 'customer' for the purposes of the employee non-solicitation agreement?
Canine_Dimensions Franchise · 2025 FDDAnswer from 2025 FDD Document
- Employee agrees, in addition to the provisions of Paragraph C.1. hereof, that for the period of two (2) years following the termination of his employment (for whatever reason and whether voluntary or not) he will not directly or indirectly solicit, entice, divert, lure, pirate, take away or interfere with any of the Employer's or Franchisor's customers, trade, business, patronage, suppliers, employees, agents or consultants within fifty (50) miles of any Franchised Business in the System. As used herein "customers" shall mean: any person, business or entity which either (i) has transacted any business with Employer or Franchisor; or (ii) was actively pursued by the Employer or Franchisor, during the term of Employee's employment, to become a customer of the Employer or Franchisor; or (iii) whose identity became known to Employee as a result of Employee's access to a customer list or other Confidential Information of Employer or Franchisor (including, but not limited to, response cards, target lists, leads, etc.).
Source: Item 22 — CONTRACTS (FDD page 36)
What This Means (2025 FDD)
According to Canine Dimensions' 2025 Franchise Disclosure Document, the non-solicitation agreement restricts former employees from interfering with the company's customers. For the purposes of this agreement, a 'customer' is defined as any person, business, or entity that falls into one of three categories.
First, a customer includes any person, business, or entity that has transacted business with either the Canine Dimensions franchisee (Employer) or Canine Dimensions Franchising, LLC (Franchisor). This means anyone who has purchased dog training, boarding, or related services from the franchise or the franchisor is considered a customer. Second, a customer is anyone who was actively pursued by the Employer or Franchisor to become a customer during the employee's term of employment. This covers potential clients that the business was actively trying to convert into paying customers.
Third, a customer includes anyone whose identity became known to the employee as a result of their access to customer lists or other confidential information of the Employer or Franchisor. This includes information obtained from response cards, target lists, or leads. This broad definition aims to protect Canine Dimensions' customer base and confidential information by preventing former employees from using their knowledge to solicit clients within fifty (50) miles of any Franchised Business in the System for two years after their employment ends.