Is there a geographic limit to the employee recruitment restriction for Chocolate Bash franchisees after termination?

According to Chocolate Bash's 2024 Franchise Disclosure Document, there is no geographic limit specified regarding employee recruitment restrictions after the termination, transfer, or expiration of the Franchise Agreement. The agreement states that during the term of the agreement and for one year after termination, transfer, or expiration, a franchisee cannot knowingly employ or seek to employ anyone currently working for CB Franchising or its affiliates. This restriction applies regardless of the location of the former franchisee or the employee.

This means that for one year after leaving the Chocolate Bash system, a former franchisee is prohibited from hiring any employee of the Chocolate Bash franchisor or its affiliates, regardless of where the franchisee's new business is located. This could potentially limit a former franchisee's ability to recruit experienced staff if they choose to open a competing business or another venture within or outside the original franchise territory.

Franchisees should be aware of this restriction and factor it into their post-franchise plans. It is important to understand that violating this clause could result in legal action from Chocolate Bash. Prospective franchisees may want to seek clarification from the franchisor regarding specific scenarios and the scope of this restriction to fully understand its implications.