Who has the right to identify shared referral sources in each market for Caring Transitions?
Caring_Transitions Franchise · 2025 FDDAnswer from 2025 FDD Document
The exclusivity of your territory does not extend to "shared referral sources" (such as attorneys, bank trust departments, real estate agents and brokers, funeral homes, senior care facilities, and similar organizations) that will be shared by all franchisees in a market. Other Caring Transitions franchisees may solicit referrals from and promote their services to shared referral sources located in your territory, and you may solicit referrals from and promote your services to shared referral sources located in another franchisee's territory. We have the exclusive right to identify the shared referral sources in each market on a case-by-case basis and resolve all disputes between franchisees relating to shared referral sources.
Source: Item 12 — TERRITORY (FDD pages 29–31)
What This Means (2025 FDD)
According to Caring Transitions's 2025 Franchise Disclosure Document, Caring Transitions retains the exclusive right to identify shared referral sources in each market. These shared referral sources, which include entities like attorneys, bank trust departments, real estate agents and brokers, funeral homes, and senior care facilities, are available for all franchisees within a market to solicit referrals from and promote their services to.
This means that while a Caring Transitions franchisee has an exclusive territory, other franchisees can still target shared referral sources within that territory. Conversely, a franchisee can also solicit referrals from shared referral sources located in another franchisee's territory. This arrangement is designed to maximize referral opportunities for all franchisees by tapping into established networks and relationships within the community.
Caring Transitions also reserves the right to resolve any disputes that may arise between franchisees regarding these shared referral sources. This ensures that conflicts are managed by the franchisor, maintaining a level playing field and preventing individual franchisees from monopolizing key referral relationships. Prospective franchisees should understand that while they have territorial exclusivity, it is subject to the shared referral source exception, which could impact their business development strategy and competitive landscape within their territory.