Does the exclusivity granted to a Cicis franchisee apply to Special Venues?
Cicis Franchise · 2025 FDDAnswer from 2025 FDD Document
As long as you are in compliance with this Agreement and except with respect to Special Venues (defined below), we will not, during the Term, (1) operate or grant a Franchise to anyone
else to develop or operate a Cicis Restaurant within the Development Area, or (2) grant Development Rights to anyone else within the Development Area. A "Special Venue" is any (1) location in which foodservice is or may be provided by a master concessionaire, (2) location which is situated within or as part of a larger venue or facility (other than a mall or shopping center) and, as a result, is likely to draw the predominance of its customers from those persons who are using or attending events in the larger venue or facility (for example, colleges/universities, convention centers, airports, hotels, sports facilities and stadiums, theme parks, hospitals, transportation facilities, convenience stores, and other similar captive market locations), or (3) distribution channel other than a Cicis Restaurant through which products and services are or may be sold.
Source: Item 23 — RECEIPTS (FDD pages 65–263)
What This Means (2025 FDD)
According to Cicis's 2025 Franchise Disclosure Document, the exclusivity granted to a franchisee does not apply to Special Venues. Cicis retains the right to operate or franchise Cicis restaurants in Special Venues, even within a franchisee's Development Area.
The FDD defines a "Special Venue" as any location where foodservice is provided by a master concessionaire, or any location within a larger venue or facility (excluding malls or shopping centers) that primarily draws customers from that larger venue. Examples of Special Venues include colleges/universities, convention centers, airports, hotels, sports facilities and stadiums, theme parks, hospitals, transportation facilities, and convenience stores.
This means that Cicis can operate or franchise locations in these types of venues without regard to any territorial exclusivity a franchisee may have. This is a significant exception to the exclusivity typically granted in franchise agreements, as it allows Cicis to tap into potentially lucrative markets without compensating existing franchisees. Prospective franchisees should carefully consider the implications of this exception, especially if their Development Area includes or is near any Special Venues.