factual

What geographic restriction applies to the site selection for an Itan Salon?

Itan Franchise · 2025 FDD

Answer from 2025 FDD Document

  • "Site Selection Area" means the geographic area described in Part C of ATTACHMENT "A" and within which you must find a site we approve for your Salon.

  • 5.1. Site Selection. You must select a specific site within the Development Territory for each Salon in compliance with our then-current site selection criteria. Each site you select is subject to our prior approval in accordance with the applicable Franchise Agreement. We will not review proposed sites for a Salon until you sign the applicable Franchise Agreement for that Salon.

If we approve the site for your Salon before signing this Agreement, we will describe your Territory in Part E of ATTACHMENT "A".

Otherwise, we will describe your Territory in the Site Approval Notice we send to you after approving your site. During the Term we will not develop or operate, or license a third party to develop or operate, a Salon that is located in the Territory except as otherwise provided in this Section with respect to Acquisitions. At any time during the Term we reserve the right to engage in Acquisitions that involve, or subsequently result in, conversion of the acquired or acquiring company's outlets to ITAN™ Salons, even if those outlets are located in your Territory. We reserve the right to sell, and license third parties to sell, competitive or identical goods and services (including under the Marks) within the Territory through Alternative Channels of Distribution.

Source: Item 23 — RECEIPT (FDD pages 44–190)

What This Means (2025 FDD)

According to Itan's 2025 Franchise Disclosure Document, the site for a salon must be located in the "Site Selection Area." The Site Selection Area is defined in Part C of ATTACHMENT "A" of the franchise agreement.

Itan requires franchisees to select a specific site within their Development Territory, adhering to Itan's site selection criteria. Each site is subject to Itan's approval, and Itan will not review proposed sites until the Franchise Agreement for that salon is signed.

If Itan approves the site before the agreement is signed, the territory will be described in Part E of ATTACHMENT "A". Otherwise, the territory will be described in the Site Approval Notice sent after the site is approved. During the term of the agreement, Itan will not develop, operate, or license a third party to develop or operate a salon within the franchisee's territory, with exceptions for acquisitions or alternative channels of distribution.

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.