Does a Coffee News franchisee have the right of first refusal to acquire additional territories?

e are flexible on how many franchise territories may be available in any geographic area. You do not have the right of first refusal or similar rights to acquire additional outlets. The operations manual provides a chart for your use in determining the number of franchises that may be available within any geographic area under consideration by you. We will review and approve your proposed territory in a timely manner.

At the signing of the franchise agreement, we will grant you exclusive rights to distribute your publication of Coffee News within the agreed boundaries. Your exclusive territory is a specific geographic area where you may distribute the Periodical. Although you are allowed to distribute Coffee News only within this territory, you may solicit and accept advertisements from sources both inside and outside your territory. You may solicit advertising clients both from within your territory and outside your territory by any means that you deem appropriate. We place no restriction on outside territory solicitation. We do suggest, however, as a matter of courtesy and

to maintain harmonious relations with mutual clients and fellow publishers, that you communicate with your neighboring publisher before you enter such a publishers' territory to solicit and/or sell advertising. You may acquire additional franchise territories by proposing territories to us and we will research and tailor the boundaries of the proposed territory.

Source: Item 12 — Territory (FDD pages 21–22)