What conditions apply if a Crawlspace Medic franchisee is permitted to relocate?
Crawlspace_Medic Franchise · 2024 FDDAnswer from 2024 FDD Document
This Agreement grants Franchisee the right to operate the Franchised Business at a single location within the Territory. Franchisor agrees that Franchisor will not, and Franchisor will not permit any other of our franchisees, to operate a franchised Crawlspace Medic location in the Territory using the same Marks as licensed to Franchisee in this Agreement so long as Franchisee is not in default under this Agreement or this Agreement has not expired or been terminated. Except as otherwise specified in this Agreement, Franchisor reserves the right to open, operate or franchise Crawlspace Medic franchises around, bordering and adjacent to the Territory. Franchisee will be selling its products and services from a location within the territory, and will provide services to customers within that territory. Franchisee is prohibited from selling and soliciting customers through alternative distribution channels as more fully specified herein.
Source: Item 22 — CONTRACTS (FDD page 42)
What This Means (2024 FDD)
Based on the 2024 Crawlspace Medic Franchise Disclosure Document, the franchise agreement grants the franchisee the right to operate their franchised business at a single location within a designated territory. The agreement specifies that Crawlspace Medic will not allow other franchisees to operate within the franchisee's territory using the same marks, provided the franchisee is not in default of the agreement and the agreement has not expired or been terminated.
The franchisee is expected to sell products and services from a location within their territory and provide services to customers within that territory. The document prohibits franchisees from selling and soliciting customers through alternative distribution channels, as specified in the agreement. Crawlspace Medic retains the right to open, operate, or franchise other Crawlspace Medic locations around, bordering, and adjacent to the franchisee's territory.
To maintain the territory, the franchisee must meet certain minimum performance requirements for revenue per year of the agreement. The FDD does not explicitly detail the conditions under which a franchisee might be permitted to relocate their Crawlspace Medic business. A prospective franchisee should seek clarification from Crawlspace Medic regarding the possibility of relocation, the conditions under which it may be permitted, and any associated fees or requirements.