After the Exit franchise agreement terminates, am I allowed to do anything that is injurious to the goodwill associated with the Exit System?

According to Exit's 2025 Franchise Disclosure Document, franchisees are prohibited from performing any action that could be detrimental to the goodwill associated with the Exit System, even after the franchise agreement has terminated. This restriction is in place to protect the brand's reputation and the interests of other Exit franchisees.

Specifically, the franchise agreement states that franchisees cannot "do or perform any other act injurious or prejudicial to the goodwill associated with the EXIT System." This clause is part of a broader set of covenants that Exit considers reasonable and necessary to protect the subfranchisor and other Exit franchises, regardless of whether the agreement expires or is terminated for any reason.

Exit also has the right to seek legal measures, including temporary and permanent injunctions, to enforce these provisions. Franchisees acknowledge that violations of these terms can cause significant and irreparable harm to the Exit System, which cannot be adequately compensated with monetary damages. This includes actions that may damage or lead to a loss of goodwill associated with Exit's proprietary marks. Franchisees may also be responsible for covering all costs incurred by the subfranchisor in proceedings to enforce these provisions, including attorney's fees and expert witness fees.