What is an 'Assigned Area' in relation to a Casiola Business?
Casiola Franchise · 2024 FDDAnswer from 2024 FDD Document
- (b) You cannot provide Approved Services and Products in the Operating Market of another Casiola Business (an "Assigned Area");
- (c) An "Open Area" is a geographic area that (i) is not an Assigned Area; and (ii) is located within a 10 mile radius of your Operating Market;
- (d) Unless otherwise directed by us at any time, from time to time, and in our sole direction, you may provide Approved Services and Products to a customer (an "Out of Territory Customer") in an Open Area; and
- (e) Once an Open Area becomes an Assigned Area you will no longer be authorized or eligible to provide Approved Services and Products to any customers within the Open Area and you must turn over to us, for the benefit of another Casiola Business franchisee, all information and records related to customers in the Open Area.
Source: Item 12 — TERRITORY (FDD pages 30–32)
What This Means (2024 FDD)
According to Casiola's 2024 Franchise Disclosure Document, an 'Assigned Area' is defined in relation to the territory rights granted to franchisees. Specifically, a Casiola franchisee cannot provide approved services and products in the Operating Market of another Casiola Business, which is referred to as an 'Assigned Area'.
This restriction means that a franchisee's territory is not entirely exclusive. While Casiola will not open another franchise within a franchisee's Operating Market, other franchisees have 'Assigned Areas' that must be respected. This has implications for where a franchisee can actively solicit customers and provide services. A franchisee's marketing efforts must be targeted to their Operating Market, and they are not permitted to directly solicit customers outside of it or within another franchisee's 'Assigned Area'.
However, franchisees may be able to provide approved services and products in an 'Open Area,' which is a geographic area that is not an Assigned Area and is located within a 10-mile radius of the franchisee's Operating Market. This is subject to Casiola's written approval and provided that the franchisee does not engage in direct solicitation of customers outside their Operating Market or within another Casiola Business's Operating Market. If an Open Area becomes an Assigned Area, the franchisee must cease providing services there and turn over customer information to Casiola for the benefit of the franchisee who now has that Assigned Area.