What is the geographic limit within which a Caring Transitions franchisee is restricted from soliciting referrals from Shared Referral Sources?
Caring_Transitions Franchise · 2025 FDDAnswer from 2025 FDD Document
- (6) except as may be authorized under another franchise agreement in effect between Franchisee (or Covenantor) and Franchisor (including a successor agreement upon the renewal of the Franchise granted under the Franchise Agreement), promote, sell, procure, provide or solicit referrals for, or offer to sell, procure, provide or solicit referrals for any Permitted Products or Services or any other products or services that are offered in the Franchised Business, from any Shared Referral Sources or in or within 15 miles of the geographical boundaries of Franchisee's or any other Caring Transitions Franchisee's Territory; or
Source: Item 23 — RECEIPT (FDD pages 49–202)
What This Means (2025 FDD)
According to Caring Transitions' 2025 Franchise Disclosure Document, a franchisee is restricted from soliciting referrals for any products or services offered in the Franchised Business from any Shared Referral Sources or within 15 miles of the geographical boundaries of the franchisee's or any other Caring Transitions franchisee's territory. This restriction applies unless authorized under another franchise agreement between the franchisee and Caring Transitions.
This means that a Caring Transitions franchisee cannot actively seek referrals from shared sources, such as national organizations or preferred provider networks, within their own territory or within 15 miles of any other Caring Transitions territory. This measure is designed to protect each franchisee's market area and prevent overlap or competition for referral sources.
This restriction is in place during the term of the franchise agreement. A prospective franchisee should carefully consider the implications of this geographic limitation, especially if they plan to rely heavily on shared referral sources for generating business. Understanding the boundaries of this restriction is crucial for developing a successful marketing and business development strategy within the Caring Transitions franchise system.