factual

What is the role of the 'Responsible Owner' for a Kitchen Solvers franchisee?

Kitchen_Solvers Franchise · 2025 FDD

Answer from 2025 FDD Document

7. COVENANTS: NON COMPETITION/CONFIDENTIALITY/COMPLIANCE WITH LAWS

7.1 Non-Compete

  • 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 role of the 'Responsible Owner' is not explicitly detailed. However, the FDD does state that franchisees and their owners, officers, and agents are subject to certain covenants, particularly regarding non-competition during the term of the agreement and for a period after termination.

Specifically, during the term of the Kitchen Solvers Franchise Agreement, the franchisee and their owners, officers, and agents are prohibited from participating in any Competitive Business, which includes kitchen and/or bathroom remodeling, cabinet refacing, or any business selling similar products and services. They are also barred from diverting business or customers to competitors or performing any act injurious to the goodwill associated with the Kitchen Solvers brand.

Post-termination, for two years, the non-compete extends to prevent involvement in a Competitive Business within the Development Area, a 25-mile radius around it, any other Kitchen Solvers franchisee's territory, or a 25-mile radius around another franchisee's territory. This suggests that the 'Responsible Owner' is bound by these non-compete and confidentiality obligations, indicating a significant role in ensuring compliance and protecting Kitchen Solvers' interests. A prospective franchisee should seek clarification from the franchisor regarding the specific duties and liabilities of the 'Responsible Owner'.

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.