What other business activities are prohibited for the transferee of a City Publications franchise?
City_Publications Franchise · 2025 FDDAnswer from 2025 FDD Document
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- Own an interest in, manage, operate, be employed, in a sales or management capacity, by, or act as a consultant to any Competitive Business anywhere within the Exclusive Territory granted to Franchisee, or within a radius of twenty-five (25) miles of any other Franchisor or franchisee-owned CITY PUBLICATIONS Business;
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- Initiate any action to hire, or attempt to hire for any other employer, any person who is employed by Franchisor or employed by any other franchisee of the CITY PUBLICATIONS System, or induce any such person to leave his employment with Franchisor or any other franchisee in order to work for any other employer, whether or not the person's employment with the business is pursuant to a written agreement or is at will; or
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- Solicit business from customers of Franchisee's former CITY PUBLICATIONS business or other Franchisor or franchisee-owned CITY PUBLICATIONS Businesses.
Source: Item 23 — RECEIPT (FDD pages 39–129)
What This Means (2025 FDD)
According to the 2025 City Publications Franchise Disclosure Document, a franchisee is restricted from certain business activities, primarily those that compete with the City Publications business model. Specifically, within the Exclusive Territory granted to the franchisee, or within a 25-mile radius of any other City Publications franchise, the franchisee cannot own an interest in, manage, operate, be employed by, or act as a consultant to any Competitive Business. A Competitive Business is defined as one that sells direct mail advertising or similar services.
Additionally, a City Publications franchisee is prohibited from attempting to hire any person employed by City Publications or any other City Publications franchisee. They also cannot induce any such person to leave their employment to work for another employer. This restriction applies whether or not the person's employment is pursuant to a written agreement or is at will.
Furthermore, a City Publications franchisee is not allowed to solicit business from customers of their former City Publications business or other City Publications businesses. These restrictions are acknowledged by City Publications as essential to the agreement and are considered fair and reasonable for the protection of City Publications and the franchise system. City Publications retains the right to seek legal remedies, including injunctions, in the event of a breach or threatened breach of these covenants, as damages would be difficult to ascertain and the breach would result in irreparable injury to City Publications.