What activities are prohibited under the Clear Pest Pros covenant not to compete?
Clear_Pest_Pros Franchise · 2025 FDDAnswer from 2025 FDD Document
For a period of 24 months from the time of expiration or termination of this Agreement, you and your owners and, if applicable, your Designated General Manager, shall not (a) engage as an owner, shareholder, partner, director, officer, employee, consultant, salesperson, representative, or agent or in any other capacity in any business offering pest management for all manner of ants, spiders, roaches, stinging pests, flying pests and rodents on a recurring and/or one time basis, and other related services, (b) solicit business from Customers of your former Clear Pest Pros Business
or contact any of our suppliers or vendors for any competitive business purpose, or (c) divert or attempt to divert any business or Customer of the Clear Pest Pros Business to any competitor, by direct or indirect inducement or otherwise, or do or perform, directly or indirectly, any other act injurious or prejudicial to the goodwill associated with the Marks or the System or engage in any business relationship with any contacts with Customers or former Customers of the Clear Pest Pros Business, whether with respect to collection of accounts receivable, or to provide them services, or for any other purpose whatsoever, within:
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- the Territory as defined in this Agreement;
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- the geographic area encompassed by the Territories of any Clear Pest Pros franchisees, Company Stores, or any other Clear Pest Pros business operator, as of the date of the termination or expiration of this Agreement; or
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- a geographic area that is contained in a circle having a radius of 50 miles outward from the outside boundary of the Territory as defined in this Agreement.
Source: Item 22 — CONTRACTS (FDD pages 67–68)
What This Means (2025 FDD)
According to Clear Pest Pros' 2025 Franchise Disclosure Document, the covenant not to compete restricts franchisees and their owners, as well as any Designated General Manager, for 24 months after the franchise agreement expires or terminates. During this period, they are restricted from specific activities within a defined geographic area.
Specifically, the prohibited activities include engaging in any business that offers pest management services for ants, spiders, roaches, stinging pests, flying pests, and rodents, whether on a recurring or one-time basis, or providing other related services. Franchisees are also prohibited from soliciting business from existing customers of their former Clear Pest Pros business or contacting Clear Pest Pros' suppliers or vendors for any competitive business purpose.
Furthermore, franchisees cannot divert or attempt to divert any business or customer of Clear Pest Pros to a competitor through direct or indirect means. They are also barred from any action that could harm the goodwill associated with the Clear Pest Pros brand or its system. This includes engaging in any business relationship with contacts, customers, or former customers of the Clear Pest Pros business for any purpose, including collecting accounts receivable or providing services. The restricted geographic area includes the franchisee's original territory, the territories of other Clear Pest Pros franchisees or company stores, and an area within a 50-mile radius of the franchisee's territory.