Is Crawlspace Medic or any affiliate the sole approved supplier for any product or service?
Crawlspace_Medic Franchise · 2024 FDDAnswer from 2024 FDD Document
se Agreement as Attachment 7.
ITEM 16: RESTRICTION ON WHAT FRANCHISEE MAY SELL
You must offer and sell all services that are part of the System, and all services and products that we incorporate into the System in the future. You may only offer services and products that we have previously approved.
You may not use our Marks for any other business, and you may not conduct any other business from your Franchised Business location without our prior approval. You cannot engage in any other business that competes with your Franchised Business, with our affiliates, or us or with Crawlspace Medic outlets owned by other franchisees, whether such business is inside or outside of the Territory.
We may add to, delete from or modify the products and services that you can and must offer.
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 20–21)
What This Means (2024 FDD)
According to the 2024 Crawlspace Medic Franchise Disclosure Document, franchisees are required to offer and sell all services that are part of the Crawlspace Medic system, including any services and products incorporated into the system in the future. Franchisees may only offer services and products that Crawlspace Medic has previously approved.
Crawlspace Medic may add to, delete from, or modify the products and services that franchisees are required to offer, provided these changes do not materially and unreasonably increase the franchisee's obligations under the Franchise Agreement. There are no other limits on Crawlspace Medic's rights to make these changes. Franchisees must sell products and services in the manner prescribed by Crawlspace Medic.
The FDD also states that Crawlspace Medic will make available a list of approved and/or recommended suppliers of products and services for franchisees in the system, amending the list as deemed appropriate. This suggests that while there are approved suppliers, the document does not explicitly state that Crawlspace Medic or its affiliates are the sole approved suppliers for all products and services. A prospective franchisee should clarify with Crawlspace Medic whether there are any products or services for which Crawlspace Medic or an affiliate is the only approved supplier.