Does the Caring Transitions franchise agreement consider the geographic and temporal restrictions on competition reasonable?

According to Caring Transitions' 2025 Franchise Disclosure Document, the franchise agreement explicitly states that the franchisee acknowledges and agrees that the geographic and temporal restrictions on their ability to compete with Caring Transitions and its franchisees are reasonable and necessary to protect Caring Transitions' business interests in the relevant markets. This acknowledgement is a standard clause in many franchise agreements, designed to protect the franchisor's brand and market share.

The agreement specifies that for two years after the termination, expiration, or transfer of the franchise agreement, the franchisee cannot engage in a similar business offering moving management, estate liquidation, or household liquidation services within 15 miles of their former territory or any other Caring Transitions franchisee's territory. This restriction also applies to soliciting referrals for these services from shared referral sources within the same geographic boundaries.

This non-compete clause is designed to prevent a former franchisee from using the knowledge and experience gained while operating a Caring Transitions franchise to directly compete with the system shortly after leaving. The agreement also includes a provision stating that if any part of the non-compete clause is deemed invalid or unenforceable, it should be modified to the extent necessary to allow enforcement, while keeping the remaining provisions in effect. This demonstrates an intent to maintain the broadest possible protection for Caring Transitions' business interests while adhering to applicable laws.