After the Dryer Vent Squad franchise is terminated or expires, what covenants must the franchisee comply with?

Question

Accepted Answer

| n. | Franchisor's right of first refusal to acquire franchisee's business      | 14.F.             | We have the right to match any offer to purchase your Dryer Vent Squad Business or the corporate entity operating your Dryer Vent Squad Business.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
|----|------------------------------------------------------------------------------|-------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| o. | Franchisor's option to purchase | Not | Not applicable. |
|  | franchisee's business | applicable |  |
| p. | Death or disability of franchisee | 14.D. | If you are an individual, within 30 days of your death or permanent |
|  |  |  | disability, your executor and/or legal representative must appoint an |
|  |  |  | Operating Manager approved by us and within 60 days of such |
|  |  |  | appointment the Operating Manager must complete, to our |
|  |  |  | satisfaction, our initial training program. Within 12 months of the |
|  |  |  | date of death or disability, the Franchise Agreement must be |
|  |  |  | transferred to a transferee approved by us and otherwise transferred |
|  |  |  | in accordance with the terms of the Franchise Agreement. If the |
|  |  |  | franchisee is a Corporate Entity, within 30 days of the death or |
|  |  |  | permanent disability of your Managing Owner, if there are other |
|  |  |  | Owners, you must appoint a replacement Operating Manager |
|  |  |  | approved by us and within 60 days of such appointment the |
|  |  |  | replacement Operating Manager must complete, to our satisfaction, |
|  |  |  | our initial training program. |
| q. | Non-competition covenants | 6 | No involvement in any competitive business and must comply with |
|  | during the term of the franchise |  | confidentiality, non-disclosure and non-solicitation covenants. |
| r. | Non-competition covenants after the franchise is terminated or expires | 6, 17             | No involvement, ownership or interest whatsoever for 24 months in any competing business in: your Operating Territory; a 25 mile radius of your Operating Territory; the operating territory of any other Dryer Vent Squad Business; and you must comply with confidentiality, non-disclosure and non-solicitation covenants.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |

Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 41–45)

After the Dryer Vent Squad franchise is terminated or expires, what covenants must the franchisee comply with?

Answer from 2024 FDD Document

What This Means (2024 FDD)

n.	Franchisor's right of first refusal to acquire franchisee's business	14.F.	We have the right to match any offer to purchase your Dryer Vent Squad Business or the corporate entity operating your Dryer Vent Squad Business.
o.	Franchisor's option to purchase	Not	Not applicable.
	franchisee's business	applicable
p.	Death or disability of franchisee	14.D.	If you are an individual, within 30 days of your death or permanent
			disability, your executor and/or legal representative must appoint an
			Operating Manager approved by us and within 60 days of such
			appointment the Operating Manager must complete, to our
			satisfaction, our initial training program. Within 12 months of the
			date of death or disability, the Franchise Agreement must be
			transferred to a transferee approved by us and otherwise transferred
			in accordance with the terms of the Franchise Agreement. If the
			franchisee is a Corporate Entity, within 30 days of the death or
			permanent disability of your Managing Owner, if there are other
			Owners, you must appoint a replacement Operating Manager
			approved by us and within 60 days of such appointment the
			replacement Operating Manager must complete, to our satisfaction,
			our initial training program.
q.	Non-competition covenants	6	No involvement in any competitive business and must comply with
	during the term of the franchise		confidentiality, non-disclosure and non-solicitation covenants.
r.	Non-competition covenants after the franchise is terminated or expires	6, 17	No involvement, ownership or interest whatsoever for 24 months in any competing business in: your Operating Territory; a 25 mile radius of your Operating Territory; the operating territory of any other Dryer Vent Squad Business; and you must comply with confidentiality, non-disclosure and non-solicitation covenants.