factual

Can a Care Plus Medical Ucc franchisee make sales from locations other than their premises?

Care_Plus_Medical_Ucc Franchise · 2024 FDD

Answer from 2024 FDD Document

ess, or (iv) control of the Business.

ARTICLE 2. GRANT OF LICENSE

  • 2.1 Grant. Care Plus Medical UCC grants to Franchisee the right to operate a Care Plus Medical business solely at the Location. If no Location is stated on the Summary Page when this Agreement is signed, then the parties will determine the Location in accordance with Section 6.1. Franchisee shall develop, open and operate a Care Plus Medical business at the Location for the entire term of this Agreement.
  • 2.2 Protected Territory. Care Plus Medical UCC shall not establish, nor license the establishment of, another business within the Territory selling the same or similar goods or services under the same or similar trademarks or service marks as a Care Plus Medical business.

Source: Item 16 — RESTRICTIONS ON WHAT THE FRANCHISEE MAY SELL (FDD page 33)

What This Means (2024 FDD)

According to the 2024 Care Plus Medical Ucc Franchise Disclosure Document, franchisees are generally required to operate their Care Plus Medical business from a specific location. The franchise agreement grants the franchisee the right to operate a Care Plus Medical business solely at the location specified in the Location Acceptance Letter. Franchisees are expected to develop, open, and operate their business at this location for the entire term of the agreement. This suggests that the primary mode of operation is intended to be from a fixed, approved site.

However, Care Plus Medical UCC retains the right to sell and license others to sell products and services within the franchisee's territory through other channels of distribution, including the internet, which are not Care Plus Medical outlets. This indicates that while franchisees are tied to a physical location, Care Plus Medical UCC can explore alternative sales channels within the same territory. This could potentially impact a franchisee's sales if the franchisor or other licensees engage in direct sales activities, such as online sales, within the franchisee's territory.

Furthermore, the franchise agreement stipulates that franchisees shall not engage in any business or other activity at the Location other than operation of the Care Plus Medical Business. This clause reinforces the restriction to the approved location and prevents franchisees from diversifying their business activities beyond the scope of the Care Plus Medical franchise at that specific site. It is important for prospective franchisees to understand that their business operations are intended to be confined to the approved location, with limited ability to conduct sales or operations elsewhere, subject to the franchisor's rights to utilize other distribution channels.

Disclaimer: This information is extracted from the 2024 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.