Can a Floors To Go franchisee own a business that competes with any business Floors To Go may become engaged in?
Floors_To_Go Franchise · 2025 FDDAnswer from 2025 FDD Document
We will not prohibit you from selling products for installation outside of Your Territory nor will we prohibit you from offering other floor covering or window treatment products for sale along with those products available through the FTG System. In other words, we will not restrict you from marketing or soliciting customers outside Your Territory.
- 4.6. Advertising. If you develop or purchase internet-based advertising through email services, search engines, web portals or other internet-based advertising vehicles, you must comply with our trademark, service mark, logo and advertising requirements, as well as any of our other applicable policies and procedures that we may institute from time to time.
- 4.7. Interference with Our Use of the FTG Marks. You shall not interfere in the use of the name "Floors To Go", or any part thereof, or any other of the FTG Marks by us, any subsidiary or affiliate of us, or any other member; and you shall execute such further documents as are necessary to accomplish this purpose. You shall conduct and operate your business in a manner which will not impair the goodwill associated with the FTG Marks.
- 4.8. Your Name. You shall not incorporate the words "Floors To Go" or any other names, marks, or logos associated therewith as part of your legal business name, but you are authorized and required to adopt a fictitious trade name incorporating the words "Floors To Go" and you shall comply with all fictitious name registration statutes. You will, within thirty (30) days after termination of this Agreement, amend your fictitious business name registrations to remove the words "Floors To Go" and all marks and logos associated therewith from your business name.
9.2. Obligations. You agree that you will (a) maintain high moral and ethical standards of conduct and shall neither engage in, nor allow others to engage in, deceptive, fraudulent, or unethical practices of any kind in connection with the "Floors To Go" name or FTG System, nor suffer, nor allow any part thereof to be used for immoral or illegal purpo
Source: Item 23 — RECEIPTS (FDD pages 47–204)
What This Means (2025 FDD)
Based on the 2025 Floors To Go Franchise Disclosure Document, the agreement does not prevent a franchisee from offering other floor covering or window treatment products for sale along with those products available through the FTG System. Floors To Go also will not restrict franchisees from marketing or soliciting customers outside of their territory.
However, the Floors To Go franchise agreement does include stipulations to protect the brand's trademarks and reputation. Franchisees must adhere to Floors To Go's trademark, service mark, logo, and advertising requirements when developing or purchasing internet-based advertising. Franchisees cannot interfere with Floors To Go's use of its marks and must operate their business in a way that does not harm the goodwill associated with those marks.
While franchisees are required to adopt a fictitious trade name incorporating "Floors To Go", they cannot incorporate those words into their legal business name. Upon termination of the agreement, franchisees must remove "Floors To Go" from their fictitious business name registrations. Franchisees must also maintain high ethical standards and avoid deceptive or fraudulent practices in connection with the Floors To Go name and system.