After leaving a City Publications franchise, am I allowed to solicit business from customers of other City Publications franchisees?
City_Publications Franchise · 2025 FDDAnswer from 2025 FDD Document
[Item 23: RECEIPT]
B. Restriction After Termination
Franchisee covenants that, except as otherwise approved in writing by Franchisor, neither Franchisee nor any partner(s), officer(s), director(s), member(s), executives, or professional staff or sales staff or their spouses of any of the foregoing shall for a period of two (2) years after the expiration or termination of this Agreement regardless of the cause, either directly or indirectly, for itself or through, on behalf of or in conjunction with, any person, persons, partnership, corporation, limited liability company or other entity:
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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 City Publications' 2025 Franchise Disclosure Document, after the termination of the franchise agreement, a franchisee is restricted from soliciting business from customers of other City Publications franchisees. Specifically, for a period of two years after the agreement ends, the franchisee cannot directly or indirectly solicit business from customers of other City Publications businesses. This restriction applies regardless of the reason for the termination.
This means that a former City Publications franchisee must avoid any actions that could divert business away from existing City Publications franchisees. This includes direct solicitation, marketing campaigns targeting those customers, or any other activity intended to attract business from those customers. The restriction extends not only to the former franchisee but also to their partners, officers, directors, members, executives, professional staff, sales staff, and their spouses.
The FDD emphasizes that these restrictions are considered essential for protecting City Publications and its franchise system. The document also states that City Publications would not have entered into the agreement without these protective measures. Franchisees acknowledge that these terms are fair, reasonable, and necessary for the protection of the franchisor and the franchise system.
City Publications can seek legal remedies, including immediate equitable relief such as restraining orders and injunctions, to prevent a former franchisee from breaching these covenants. This highlights the importance City Publications places on enforcing these restrictions to maintain the integrity of its franchise network and protect its franchisees' customer base.