Can a Canine Dimensions franchisee render 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's 2025 Franchise Disclosure Document, franchisees are generally restricted from providing services to customers outside of their protected territory. The FDD states that franchisees "may provide services only to customers and prospective customers who live in your Protected Territory." This means a franchisee's marketing and service efforts should primarily focus on their designated area.
However, the document clarifies that franchisees cannot engage in promotional activities or sell services through the internet or other alternative distribution channels directed at customers outside their territory. While advertisements in printed media, television, and radio are permitted, they should target customers within the protected territory. If these advertisements are incidentally viewed by prospective customers outside the territory due to the media's natural reach, it does not constitute a violation of the Franchise Agreement.
Furthermore, if Canine Dimensions engages in electronic commerce and receives orders for products or services within a franchisee's protected territory, the franchisee will be offered the opportunity to fulfill the order at the established price. If the franchisee declines or is unable to fulfill the order, Canine Dimensions, its affiliates, or another franchisee may fulfill it, without any compensation to the original franchisee. This highlights the importance of focusing service and marketing efforts within the defined protected territory, as opportunities outside that area are limited and subject to specific conditions.