For a Carbones Pizzeria franchise, does the definition of 'Competing Business' include restaurants with eat-in service?

According to the 2025 Carbones Pizzeria Franchise Disclosure Document, a "Competing Business" is defined as any restaurant or facility that serves pizza and offers eat-in, take-out, or a combination of both. This definition is important for prospective franchisees to understand because it directly impacts the restrictions they will face during the term of their franchise agreement and for a period of time after the agreement is terminated.

Specifically, during the franchise term, franchisees are prohibited from operating, owning, managing, or being employed by any Competing Business, unless it's another Carbones Pizzeria franchise. This restriction extends to businesses that grant franchises or licenses for Competing Businesses. After the franchise agreement ends, this non-compete obligation continues for two years within a defined "Restricted Area," which includes the franchisee's territory, a 25-mile radius from that territory, and a 5-mile radius from any other Carbones Pizzeria location.

This definition and the related non-compete clauses are fairly standard in the franchise industry, designed to protect the franchisor's brand and market share. However, prospective Carbones Pizzeria franchisees should carefully consider the breadth of the definition of "Competing Business" and the geographic scope and duration of the non-compete restrictions, as these could significantly limit their future business opportunities should they decide to leave the Carbones Pizzeria system.