factual

Is an Epcon Communities franchisee prohibited from modifying the Development System?

Epcon_Communities Franchise · 2025 FDD

Answer from 2025 FDD Document

We do not restrict the types of goods or services that you may offer, except that you are prohibited from modifying our Development System (except as necessary to comply with building codes and permits, and local, state and federal laws) and, in your development of Epcon Communities projects, you must comply with the specifications of the Development System. Except in limited circumstances, you may not during the term of the Franchise Agreement, own, develop, construct or have any interest in any real estate development project that is age-restricted or for which the targeted buyers are the 55+ home buyer, including, but not limited to, detached and/or attached ranch-style homes (with or without basements or a second floor) that are similar to the homes and communities depicted in our Development System. You are not required to sell all goods or services authorized by us. We have the right to add to, discontinue or modify authorized goods, services, specifications and procedures at our discretion. There are no limits on this right to make changes to the Development System. You are not restricted regarding the buyers to whom you may sell your Units.

Source: Item 16 — RESTRICTIONS ON WHAT THE FRANCHISEE MAY SELL (FDD page 55)

What This Means (2025 FDD)

According to Epcon Communities' 2025 Franchise Disclosure Document, franchisees are generally prohibited from modifying the Development System. The Development System includes copyrighted architectural plans and building designs that Epcon Communities uses for its residential community development projects.

However, there are exceptions. Franchisees can make modifications necessary to comply with building codes and permits, as well as local, state, and federal laws. This ensures that Epcon Communities projects adhere to legal requirements without hindering the franchisee's ability to operate.

Epcon Communities retains the right to add to, discontinue, or modify authorized goods, services, specifications, and procedures within the Development System at its discretion. This allows Epcon Communities to adapt its system over time, but it also means franchisees must stay updated with any changes the franchisor implements. Franchisees are also restricted from engaging in real estate development projects targeting the 55+ home buyer demographic that are similar to the Epcon Communities system, without prior written consent from Epcon Communities.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.