What is the dependency for City Publications to grant an exclusive territory?

According to City Publications' 2025 Franchise Disclosure Document, the grant of an exclusive territory is dependent on the franchisee remaining in compliance with the franchise agreement. Specifically, the agreement must be in force and effect, and the franchisee must not be in default under any of its terms. If these conditions are met, City Publications will not establish or license another entity to establish or operate a City Publications business within the franchisee's designated exclusive territory.

The exclusive territory granted to a City Publications franchisee will consist of approximately 100,000 homes of an appropriate market value, defined by zip codes. The demographic data used to determine the territory will be based on the most recent available U.S. Census data at the time the exclusive territory is designated. The franchisee is required to confine its distribution of Card Packs, which are packaged advertisements targeting affluent homeowners, to this exclusive territory.

While franchisees must focus their distribution efforts within their exclusive territory, they are permitted to solicit Card Pack advertisements outside of it, as long as these advertisements are directed to consumers residing or situated within their assigned territory. However, all advertising solicitations from business owners or entities with operations in multiple franchise territories are reserved exclusively for City Publications itself. This ensures that national or multi-territory advertising accounts are handled directly by the franchisor, maintaining consistency and control over larger advertising campaigns.