Does the definition of 'Competing Business' for Carbones Pizzeria include only eat-in restaurants?

According to Carbones Pizzeria's 2025 Franchise Disclosure Document, a 'Competing Business' is not limited to only eat-in restaurants. The definition includes eat-in, take-out, and combination eat-in/take-out restaurants, or any other facility that serves pizza. This broad definition impacts the franchisee's ability to engage in other business ventures, especially during the term of the agreement and for a period of two years after termination or assignment of the agreement within the restricted area.

The agreement states that during the term of the agreement, the franchisee cannot operate, own, manage, or be employed by any Competing Business unless it's another Carbones Pizzeria franchise. This restriction also applies to businesses that grant franchises or licenses for Competing Businesses. After the agreement ends, the franchisee is restricted from involvement with any Competing Business in the Restricted Area for two years, which includes the Franchisee Territory, a 25-mile radius from it, and a 5-mile radius from any other Carbones Pizzeria restaurant.

This non-compete clause is designed to protect Carbones Pizzeria's market share and trade secrets. The definition of 'Competing Business' is intentionally broad to prevent franchisees from circumventing the non-compete agreement by opening a similar business with a different service model. Prospective franchisees should carefully consider these restrictions and how they might impact their future business opportunities.