Can a Canine Dimensions franchisee deliver services outside of their Protected Territory?
Canine_Dimensions Franchise · 2025 FDDAnswer from 2025 FDD Document
You may provide services only to customers and prospective customers who live in your Protected Territory. You may not engage in any promotional activities or sell any products or services, directly or indirectly, through or on the Internet, the World Wide Web, or any other alternative distribution channels (collectively, "Alternative Distribution Channels") directed sent or directed to customers or prospective customers located outside of your Protected Territory. While you may place advertisements in printed media and on television and radio that are targeted to customers and prospective customers located within your Protected Territory, you will not be in violation of the Franchise Agreement if those advertisements, because of the natural circulation of the printed media or reach of television and radio, are viewed by prospective customers
outside of your Protected Territory. You have no options, rights of first refusal, or similar rights to acquire additional franchises.
If we engage in electronic commerce through any Internet, World Wide Web or other computer network site or sell through any other alternative distribution channel, and we receive orders for any products offered by a Franchised Business calling for delivery or performance in your Protected Territory, then we will offer the order to you at the price we establish. If you choose not to fulfill the order or are unable to do so, then we, one of our affiliates or a third party we designate (including another franchisee) may fulfill the order, and you will not be entitled to any compensation in connection with this. Otherwise, you may not use Alternative Distribution Channels to make sales outside or inside your Protected Territory, and you will not receive any compensation for our sales through alternative distribution channels.
Source: Item 16 — RESTRICTIONS ON WHAT THE FRANCHISEE MAY SELL (FDD pages 27–28)
What This Means (2025 FDD)
According to Canine Dimensions' 2025 Franchise Disclosure Document, franchisees are generally restricted from actively seeking customers outside their designated territory. The FDD states that franchisees may only provide services to customers and prospective customers who reside within their Protected Territory. Franchisees are prohibited from engaging in promotional activities or selling products or services through the internet or other alternative distribution channels that are directed towards customers outside of their territory.
While franchisees can advertise in printed media, television, and radio, they should be aware that if these advertisements reach prospective customers outside their Protected Territory due to the natural circulation or reach of the media, it will not be considered a violation of the Franchise Agreement. However, this allowance does not permit franchisees to actively target or solicit customers outside their territory through these channels.
Canine Dimensions retains the right to engage in electronic commerce and fulfill orders for products offered by a franchised business, even if the delivery or performance is within a franchisee's Protected Territory. In such cases, Canine Dimensions will offer the order to the franchisee at a set price. If the franchisee declines or is unable to fulfill the order, Canine Dimensions, its affiliates, or a designated third party can fulfill the order without any compensation to the franchisee. This highlights that franchisees do not have exclusive rights to all sales within their territory if Canine Dimensions chooses to utilize alternative distribution channels.