Where is the designated territory for the Devon Creek franchise defined?
Devon_Creek Franchise · 2024 FDDAnswer from 2024 FDD Document
Franchisor hereby grants to Franchisee and Franchisee accepts, upon the terms and conditions contained in this Agreement, the license to operate an Devon Creek franchise that offer a full range of ground care services for residential and commercial buildings and related services and products(the "Franchise" or "Franchised Business"), using only the Marks licensed hereunder, in strict conformity with the System, which may be changed, improved and further developed by Franchisor from time to time. This grant applies only within a territory that is designated in Attachment 3 attached hereto and incorporated herein (the "Territory").
Source: Item 22 — CONTRACTS (FDD page 45)
What This Means (2024 FDD)
According to Devon Creek's 2024 Franchise Disclosure Document, the designated territory for the franchise is defined in Attachment 3 of the Franchise Agreement. The agreement grants the franchisee the right to operate their Devon Creek franchise within this specified territory. This territory is exclusive, meaning that Devon Creek agrees not to operate or authorize other franchisees to operate a Devon Creek outlet with the same trademarks within the franchisee's territory, as long as the franchisee is not in default of the agreement.
However, Devon Creek retains certain rights within and outside the designated territory. They reserve the right to operate or franchise Devon Creek franchises bordering and adjacent to the franchisee's territory. Additionally, Devon Creek can offer other services and products not offered under the licensed marks, other lawn care concepts or products under different trademarks, and products or services through alternative channels of distribution, such as retail stores or the internet, even within the franchisee's territory.
Devon Creek also reserves the right to solicit, sell to, negotiate rates with, and service national accounts, which are customers with multiple locations or properties, either directly or through another franchisee. The franchisee may have the opportunity to service these national accounts within their territory under negotiated terms, but if they decline, Devon Creek can handle these accounts directly or assign them to another franchisee. The franchisee will not receive compensation for sales made by Devon Creek through alternate distribution channels or declined national accounts within their territory. Therefore, prospective franchisees should carefully review Attachment 3 to fully understand the scope and limitations of their exclusive territory.