For how long after the City Wide franchise terminates or expires are you prohibited from being involved in a competing business?

Question

Accepted Answer

| Provision                                                                          | Section in Franchise Agreement | Summary                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
|------------------------------------------------------------------------------------|--------------------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|  |  | transferee acceptable to CITY WIDE, subject to compliance with the transfer restrictions above; provided, however, that the Survivor will, throughout such period, fulfill all duties of Franchisee under this Agreement. The 6 months will be extended by up to 60 days to account for CITY WIDE's right of first refusal under described above. Failure to so dispose of the interest within such time will constitute a material breach of the Franchise Agreement. |
| q. Non-competition covenants during the term of the franchise | Section 12; Attachment F | You cannot be involved in a competing business. |
| r. Non-competition covenants after the franchise is terminated or expires | Section 12; Attachment F | You cannot be involved in a competing business in your Designated Territory for 2 years after the Franchise Agreement terminates or expires, within the Standard Metropolitan Statistical Area (SMSA) where the Franchised Business Location is located, or within 150 miles of any other CITY WIDE location, whether franchised or operated by CITY WIDE or one of its franchisees or affiliates. |

Source: Item 17 — RENEWAL, TERMINATION, TRANSFER, AND DISPUTE RESOLUTION (FDD pages 44–47)

For how long after the City Wide franchise terminates or expires are you prohibited from being involved in a competing business?

Answer from 2025 FDD Document

What This Means (2025 FDD)

Provision	Section in Franchise Agreement	Summary
		transferee acceptable to CITY WIDE, subject to compliance with the transfer restrictions above; provided, however, that the Survivor will, throughout such period, fulfill all duties of Franchisee under this Agreement. The 6 months will be extended by up to 60 days to account for CITY WIDE's right of first refusal under described above. Failure to so dispose of the interest within such time will constitute a material breach of the Franchise Agreement.
q. Non-competition covenants during the term of the franchise	Section 12; Attachment F	You cannot be involved in a competing business.
r. Non-competition covenants after the franchise is terminated or expires	Section 12; Attachment F	You cannot be involved in a competing business in your Designated Territory for 2 years after the Franchise Agreement terminates or expires, within the Standard Metropolitan Statistical Area (SMSA) where the Franchised Business Location is located, or within 150 miles of any other CITY WIDE location, whether franchised or operated by CITY WIDE or one of its franchisees or affiliates.