Who may fulfill an order if a Learningrx franchisee chooses not to or is unable to?
Learningrx Franchise · 2025 FDDAnswer from 2025 FDD Document
If we engage in electronic commerce through the Internet or other computer network site or sell through any other alternative distribution channel, and we receive orders for any System products or services calling for delivery or performance in your Territory, then we will offer the order to you at the price we establish. If you choose not to fulfill the order or are unable to do so, then we, one of your affiliates or a third-party we designate (including another franchisee) may fulfill the order, and you will be entitled to no compensation in connection with this.
Source: Item 12 — TERRITORY (FDD pages 33–35)
What This Means (2025 FDD)
According to Learningrx's 2025 Franchise Disclosure Document, if Learningrx engages in electronic commerce and receives orders for products or services within a franchisee's territory, Learningrx will first offer the order to that franchisee. However, if the franchisee declines to fulfill the order or is unable to do so, Learningrx, one of its affiliates, or a third party designated by Learningrx (which may include another franchisee) may fulfill the order.
This arrangement means that a Learningrx franchisee is not automatically entitled to all sales originating from their territory if those sales come through Learningrx's online or alternative channels. While the franchisee gets the first opportunity to fulfill the order, Learningrx retains control over ensuring the order is fulfilled, even if it means using another party. The franchisee will not receive any compensation if Learningrx or another party fulfills the order.
This policy is important for prospective franchisees to understand, as it clarifies the scope of their territorial rights and potential revenue streams. While franchisees benefit from having the first option to fulfill online orders in their territory, they also face the risk of losing those sales to Learningrx or another party if they cannot fulfill them. This highlights the importance of being prepared to handle online orders and maintain sufficient capacity to meet potential demand within their territory.