Does the restriction on hiring employees from other City Publications franchisees apply regardless of whether the employee has a written agreement?

According to City Publications' 2025 Franchise Disclosure Document, the restriction on hiring employees from other City Publications franchisees applies regardless of whether the employee has a written agreement. This means that a franchisee is prohibited from initiating any action to hire or attempting to hire any person employed by the franchisor or any other City Publications franchisee, irrespective of whether the employee's employment is based on a written agreement or is at will.

This restriction is in place during the term of the franchise agreement. It prevents franchisees from actively recruiting or inducing employees of other franchisees or the franchisor to leave their current employment to work for another employer. This measure aims to protect the stability of the workforce within the City Publications franchise system and prevent the poaching of talent between franchisees.

For a prospective franchisee, this means they cannot actively recruit employees from other City Publications locations, even if those employees do not have a formal employment contract. Violating this restriction could lead to legal repercussions, as the franchisor views such restrictive covenants as essential for protecting the franchise system. Franchisees should be aware of this restriction and ensure their hiring practices comply with the terms of the franchise agreement to avoid potential conflicts.