On what page of the City Publications FDD is the scope of the license detailed?
City_Publications Franchise · 2025 FDDAnswer from 2025 FDD Document
SECTION 2. EFFECTIVENESS OF AGREEMENT
The term and effectiveness of this Agreement shall commence upon execution of this Agreement by Franchisor and Franchisee at Franchisor's principal place of business in Atlanta, Georgia. Franchisee shall be solely responsible for any travel expenses it incurs in order to comply with this Section. Provisions for the payment of certain other costs incurred by Franchisee in connection with Franchisee's compliance with the requirement to execute this Agreement in Atlanta, Georgia, including costs for meals and accommodations in Atlanta, Georgia, are set forth Section 4.A.7. If purchase by an entity, Section 1, then the requirements for a controlled entity transfer (Section 20.C.) apply at signing.
SECTION 3. SCOPE OF LICENSE
A. Grant
In consideration of the royalties paid to Franchisor by Franchisee throughout the term hereof, Franchisor hereby grants to Franchisee, and Franchisee undertakes and accepts, upon the terms and conditions herein contained, the right, license and privilege to operate one (1) CITY PUBLICATIONS Business under the System and Marks. Subject to zoning and local ordinances, the Franchised Business may be operated or administered from any location. Franchisee is not required to obtain Franchisor's approval of any site, or to obtain a store front or commercial space, for the operation of the Franchised Business. If Franchisee establishes a commercial business location, any lease for the location must contain a provision entitling Franchisor, or its nominee, to assume such lease upon Franchisee's default of said lease.
B. Exclusive Territory
So long as this Agreement is in force and effect and Franchisee is not in default under any of the terms hereof, Franchisor will neither establish, nor license another to establish or operate, a CITY PUBLICATIONS Business within the geographic area identified in Exhibit A to this Agreement (the "Exclusive Territory"). The Exclusive Territory granted to Franchisee shall consist of approximately one hundred thousand (100,000) homes of an appropriate market value and shall be defined by zip codes. Demographics will be based upon the most recent available U.S. Census data at the time the Exclusive Territory is designated. Franchisee is required to confine its distribution of Card Packs to Franchisee's Exclusive Territory.
Franchisee may solicit for Card Pack advertisements outside of the Exclusive Territory so long as such advertisements are to be directed to consumers residing or situated within the Exclusive Territory. All activity to solicit advertising from individual business owners or other business entities having operations or sites in multiple franchise territories shall be reserved for Franchisor.
C. Franchisor's Rights
Except as otherwise provided, Franchisor retains all of its rights and discretion with respect to the Marks and the System, including the right:
Source: Item 23 — RECEIPT (FDD pages 39–129)
What This Means (2025 FDD)
According to City Publications' 2025 Franchise Disclosure Document, Section 3, titled "Scope of License," begins on a page that also contains "SECTION 2. EFFECTIVENESS OF AGREEMENT". This section outlines the rights and restrictions granted to the franchisee.
Specifically, Section 3A, "Grant," details the franchisee's right to operate one City Publications business under the System and Marks. The franchised business can be operated from any location, and the franchisee does not need the franchisor's approval for the site or a storefront. However, if the franchisee establishes a commercial location, the lease must allow the franchisor to assume the lease upon the franchisee's default.
Section 3B, "Exclusive Territory," states that as long as the agreement is in effect and the franchisee is not in default, City Publications will not establish or license another business within the franchisee's exclusive territory. This territory consists of approximately 100,000 homes of appropriate market value, defined by zip codes based on the most recent U.S. Census data. The franchisee must confine its distribution of Card Packs to this exclusive territory but may solicit advertisements outside the territory if they target consumers within it. Solicitation of advertising from businesses with operations in multiple franchise territories is reserved for the franchisor.
Section 3C, "Franchisor's Rights," clarifies that City Publications retains all rights and discretion regarding the Marks and the System, except as otherwise provided in the agreement. This includes the right to arrange for cooperative advertising and maintain the company website.