Are Carbones Pizzeria deliveries outside of a franchisee's territory on a non-exclusive basis?
Carbones_Pizzeria Franchise · 2025 FDDAnswer from 2025 FDD Document
If you offer pizza delivery services, you may not deliver into the franchisee territory granted to any other Carbone's Pizza franchisee, although you may otherwise deliver outside of your Franchisee Territory. These deliveries are on a non-exclusive basis and these outside areas are subject to being granted to new Carbone's Pizza franchisees in the future, at which time you may not then deliver into the Franchisee Territory of a new franchisees.
Source: Item 16 — RESTRICTIONS ON WHAT THE FRANCHISEE MAY SELL (FDD pages 23–24)
What This Means (2025 FDD)
According to Carbones Pizzeria's 2025 Franchise Disclosure Document, if a franchisee offers pizza delivery services, they may deliver outside their designated franchise territory, provided they do not deliver into another Carbone's Pizza franchisee's territory. These deliveries outside of the franchisee's territory are on a non-exclusive basis. This means that Carbones Pizzeria can grant a franchise to someone else that includes an area where the franchisee was previously delivering, and the franchisee must then cease deliveries into that newly franchised area.
This non-exclusive arrangement for deliveries outside the territory carries both opportunities and risks for a Carbones Pizzeria franchisee. On one hand, it allows the franchisee to potentially expand their customer base and revenue by serving areas not yet covered by another franchise. However, this benefit is not guaranteed, as Carbones Pizzeria retains the right to establish new franchises in those areas, effectively cutting off the franchisee's delivery range.
This type of territorial agreement is fairly common in the franchise industry, particularly in food service. Franchisors often balance the need to provide franchisees with sufficient territory to build a viable business with the desire to expand the brand's reach. The non-exclusive delivery provision allows Carbones Pizzeria to maintain flexibility in its expansion strategy, but it also introduces uncertainty for franchisees regarding the long-term viability of their delivery operations outside their core territory.