What is the definition of 'Covered Person' in relation to the Caring Transitions non-compete agreement?

According to Caring Transitions's 2025 Franchise Disclosure Document, a 'Covered Person' is defined within the context of the non-compete agreement as any other person (including a spouse, child, parent, or sibling of a Covenantor). This definition is relevant while the Franchise Agreement is in effect. The Covenantor agrees not to act directly or indirectly through or on behalf of a Covered Person.

This means that the restrictions placed on the franchisee (Covenantor) to prevent competition with Caring Transitions extend to close family members. The franchisee cannot use these individuals to circumvent the non-compete clauses in the agreement. This is a fairly standard practice in franchising to prevent franchisees from using family members or other close associates to operate a competing business.

Specifically, the Covenantor is prohibited from diverting business, assisting a competitive business, having an interest in a competitive business (unless authorized by another franchise agreement with Caring Transitions), promoting products or services within another franchisee's territory, or taking actions detrimental to the Caring Transitions Operating System, either directly or through a Covered Person. This broad definition aims to prevent any potential circumvention of the non-compete agreement through related parties.