Besides the Protected Territory, does the Cream franchisee have any other territorial protection?
Cream Franchise · 2025 FDDAnswer from 2025 FDD Document
ry for your Shop, you do not have a Protected Territory and/or any other territorial protection of any kind, including in the Site Selection Area and/or any other area surrounding your Premises.
Other than your Protected Territory, you have no territorial protection and we and our affiliates retain all rights to conduct business activities of any kind, including the right to:
- (1) establish and operate, and allow others to establish and operate, other Jeni's Ice Creams Scoop Shops using the Marks and the System, at any location outside the Protected Territory, on such terms and conditions we deem appropriate;
- (2) establish and operate, and allow others to establish and operate, any other type of business, including any business that may offer products and services which are identical to, similar to, or competitive with products and services offered by Jeni's Ice Creams Scoop Shops, under trade names, trademarks, service marks, and commercial symbols other than the Marks, anywhere in the world, including in the Protected Territory;
- (3) establish, and allow others to establish, businesses and distribution channels other than a Jeni's Ice Creams Scoop Shop (including, selling products at retail, wholesale, or through any Digital Presence, as defined in Section 5.B), wherever located or operating, including in your Protected Territory, regardless of the nature or location of the customers with whom such other businesses and distribution channels do business, including businesses that operate under trade names, trademarks, service marks, or commercial symbols that are similar to, the same, or competitive with the Marks, and/or that sell products or services similar to and/or the same as those that Jeni's Ice Creams Scoop Shops sell, including the offer and sale of Jeni's® -branded ice cream or products at third-party businesses;
- (4) establish and operate, and allow others to establish and operate, any Jeni's Ice Creams Scoop Shop, or other business using the Marks and/or the System, and/or offering and selling any of the products or services that are similar to, the same, or competitive with those products or services offered by Jeni's Ice Creams Scoop Shop, at or through any non-traditional venues, including, temporary or seasonal facilities or business operated within any larger venue or closed market such as an airport, hospital or medical center, casino or gaming center, convention or business center, fairground, state, local, or national park, hotel or resort, military base, transportation or transit center, university, stadium, or entertainment center, at any location in the world, including in the Protected Territory;
- (5) conduct marketing, advertising, and/or other promotional activities, events, and campaigns, at any location in the world, including in the Protected Territory, including events, activities, and campaigns that involve product giveaways and/or the offer and sale of products and services similar to and/or the same as those that Jeni's Ice Creams Scoop Shops sell, and/or using the Marks;
- (6) be acquired by or acquire (regardless of the form of transaction(s)), any other business, including businesses that operate or allow others to establish and operate businesses similar to, the same, or competitive with Jeni's Ice Creams Scoop Shops, at any location in the world, including in the Protected Territory (and in the event of such an acquisition, we and/or the acquirer and its affiliates will have the right to continue to establish and operate, and authorize others to establish and operate, such businesses, at any location in the world, including in the Protected Territory); and
- (7) engage in all other activities not expressly prohibited by this Agreement, at any location in the world, including in the Protected Territory.
2. SITE SELECTION AND DEVELOPMENT OF SHOP.
A. SITE SELECTION.
It is your responsibility to identify and select an appropriate site for your Shop.
Source: Item 23 — RECEIPTS (FDD pages 61–192)
What This Means (2025 FDD)
According to Cream's 2025 Franchise Disclosure Document, franchisees are granted a Protected Territory, but they generally do not receive other forms of territorial protection. The Protected Territory is defined in Attachment C and is established once the franchisee's lease is approved. Cream emphasizes that until Attachment C is executed, franchisees do not have any territorial protection. Cream and its affiliates retain the right to conduct business activities of any kind outside the Protected Territory.
Cream retains significant rights, even within a franchisee's Protected Territory. They can establish and operate other businesses and distribution channels, including selling products at retail, wholesale, or through any Digital Presence. This includes businesses that operate under similar or competitive trade names and sell similar products, even Jeni's-branded ice cream. Cream can also establish businesses other than Jeni's Ice Creams Scoop Shops, including non-traditional venues like airports, hospitals, casinos, and universities, within the Protected Territory.
Furthermore, Cream can conduct marketing, advertising, and promotional activities within the Protected Territory, including product giveaways. They also reserve the right to be acquired by or acquire other businesses, even those competitive with Jeni's Ice Creams Scoop Shops, and continue operating those businesses within the Protected Territory. Cream is allowed to engage in all activities not expressly prohibited by the Franchise Agreement within the Protected Territory. Franchisees also acknowledge that they will receive no territorial protection of any kind in the Site Selection Area, or any other geographic area, other than their Protected Territory.