Does Engineering For Kids reserve rights not expressly granted to me in the Engineering For Kids agreement?
Engineering_For_Kids Franchise · 2025 FDDAnswer from 2025 FDD Document
- 1.3.2. We and our affiliates reserve all rights not expressly granted to you under this Agreement, and therefore we have the right, among other things, to:
- (a) Establish, and license others to establish and operate, Engineering For Kids Businesses at any location outside the Territory, notwithstanding their proximity to the Territory or Franchised Business or their actual or threatened impact on sales at your Franchised Business;
- (b) Establish, and license others to establish and operate, businesses and programs under other systems or other proprietary marks, which businesses or programs may offer or sell services and products that are the same as, similar to, or different from the Programs offered
from the Franchised Business, and which businesses or programs may be located inside or outside the Territory, notwithstanding such business' or programs' proximity to the Territory or Franchised Business or their actual or threatened impact on sales at your Franchised Business;
Source: Item 23 — RECEIPTS (FDD pages 53–138)
What This Means (2025 FDD)
According to the 2025 Engineering For Kids Franchise Disclosure Document, Engineering For Kids and its affiliates retain all rights not explicitly granted to the franchisee in the franchise agreement. This means that while the agreement specifies what the franchisee is permitted to do, Engineering For Kids maintains control over aspects not directly addressed in the agreement.
Engineering For Kids has the right to establish or license others to establish Engineering For Kids businesses outside the franchisee's territory, regardless of proximity or impact on the franchisee's sales. They can also establish or license businesses and programs under different systems or trademarks, even if those businesses offer similar services or products to the franchisee, and whether they are located inside or outside the franchisee's territory.
This reservation of rights allows Engineering For Kids to pursue opportunities and strategies that may not directly benefit individual franchisees but are deemed beneficial for the overall brand. Prospective franchisees should consider this when evaluating the level of autonomy they will have in operating their Engineering For Kids franchise.