Where is the territory granted to the Christian Brothers Automotive franchisee defined?
Christian_Brothers_Automotive Franchise · 2025 FDDAnswer from 2025 FDD Document
- TERRITORY.
2.01 Territorial Grant. The territory granted to Franchisee by Franchisor which is subject to the terms of this Agreement shall be the area designated on Exhibit "A" attached to this Agreement (the "Territory"). Except as expressly provided to the contrary herein, Franchisee shall have the sole and exclusive right to solicit the sale of the Services within the Territory.
2.02 Franchisor Restrictions. Franchisor will not operate a Franchisor-owned outlet of the type franchised hereunder or grant a franchise for the operation of a similar or competitive business in the Territory, except as provided in Section 2.04 of this Agreement ("Rights Reserved By Franchisor").
2.03 Franchisee Restrictions. During the term hereof, Franchisee's rights hereunder shall be limited to offering and selling only the Services in the Territory, in accordance with the terms of this Agreement. Franchisee shall not, without Franchisor's express written consent, solicit, sell or perform any Services outside the Territory. Should Franchisee
Source: Item 23 — RECEIPTS (FDD pages 76–372)
What This Means (2025 FDD)
According to the 2025 Christian Brothers Automotive Franchise Disclosure Document, the territory granted to the franchisee is defined in Section 2.01 of the franchise agreement and is designated on Exhibit "A" attached to the agreement.
Specifically, Section 2.01 states that the franchisee has the sole and exclusive right to solicit the sale of services within the defined territory, except as expressly provided otherwise in the agreement. This means that Christian Brothers Automotive will not operate a company-owned outlet or grant another franchise for a similar business within the franchisee's territory, as stated in Section 2.02.
The franchisee's rights are limited to offering and selling services within the territory, and they cannot solicit, sell, or perform services outside the territory without the franchisor's written consent, as detailed in Section 2.03. This territorial exclusivity is a key aspect of the franchise agreement, providing the franchisee with a defined market area to develop their Christian Brothers Automotive business.