What authority must the 'Responsible Owner' for a Kitchen Solvers franchisee have?
Kitchen_Solvers Franchise · 2025 FDDAnswer from 2025 FDD Document
- 7.1.1 You and each of your owners, officers and agents will not, during the Term of this Agreement, directly, indirectly or through, on behalf of, or in conjunction with any person or legal entity:
- (a) participate as an owner, director, partner, officer, franchisee, employee, consultant, advisor, salesperson, distributor, or agent or serve in any other capacity in any Competitive Business (as defined below); or
- (b) divert, or attempt to divert any present or prospective business or customer of any Business to any competitor, by direct or indirect inducement or otherwise, or do
or perform, directly or indirectly, any other act injurious or prejudicial to the goodwill associated with the Marks and the System.
For purposes of this Agreement, the term "Competitive Business" shall mean any: (a) kitchen and/or bathroom remodeling business, cabinet refacing business and/or any other business that sells products and services similar to the products and services sold at your KITCHEN SOLVERS Business; and/or (b) business that franchises or licenses the right to open and operate a business of the type identified in (a) of this provision.
- 7.1.2 During the two (2) year period after expiration or termination of this Agreement, you and your owners, officers and agents will not directly or indirectly participate as an owner, director, partner, officer, franchisee, employee, consultant, advisor, salesperson, distributor, or agent or serve in any other capacity in any Competitive Business that is located: (a) anywhere in the Development Area; (b) within a twenty-five (25) mile radius of the Development Area; (c) within any other KITCHEN SOLVERS® franchisee's territory or within any area developer's development area; or (d) within twenty-five (25) mile radius of another franchisee's territory or another area developer's development area.
Source: Item 23 — Receipts (FDD pages 49–190)
What This Means (2025 FDD)
Based on the 2025 Kitchen Solvers Franchise Disclosure Document, the 'Responsible Owner' of a Kitchen Solvers franchise faces certain restrictions during the term of the agreement and for a period afterward. During the agreement's term, the owner cannot participate in any Competitive Business as an owner, director, partner, officer, franchisee, employee, consultant, advisor, salesperson, distributor, or agent. They are also prohibited from diverting business or acting in a way that harms the goodwill associated with the Kitchen Solvers brand. A 'Competitive Business' is defined as any kitchen or bathroom remodeling business, cabinet refacing business, or any business selling similar products and services, including businesses that franchise or license similar operations.
Post-termination, for two years after the agreement expires or is terminated, the restrictions continue. The owner cannot participate in a Competitive Business within the Development Area, within a 25-mile radius of it, within any other Kitchen Solvers franchisee's territory, or within a 25-mile radius of another franchisee's territory. These restrictions apply to the owner, officers, and agents, preventing them from engaging in similar businesses in various capacities.
These non-compete clauses are designed to protect Kitchen Solvers' market position and brand integrity. For a prospective franchisee, this means a significant commitment to the Kitchen Solvers system, with limited ability to engage in similar businesses during and for a period after the franchise agreement. Franchisees should carefully consider these restrictions and their implications for future business opportunities before entering into an agreement with Kitchen Solvers.