What rights does Learningrx retain regarding operating or franchising Learningrx Training Centers?
Learningrx Franchise · 2025 FDDAnswer from 2025 FDD Document
sult in loss of exclusivity for
the territory or the reduction or elimination of the Franchisee's Territory, or the termination of this Agreement, in Franchisor's sole discretion.
- 4.5 Reservation of Rights. Franchisee acknowledges that the Franchise granted hereunder is non-exclusive and that Franchisor and its Affiliates retain the exclusive right, among others:
- (a) to own, use, operate and to license and Franchise others to use, the Marks and System for the operation of LearningRx Centers at any location other than in the Territory, regardless of proximity to the Territory;
- (b) to use and Franchise the use of trademarks or service marks other than the Marks, whether in alternative channels of distribution or at any location including the Territory, except for products provided "trainer to student," in association with operations that are similar to or different than the LearningRx Center;
- (c) to offer the services or products, or grant others the right to offer the services or products, whether using the Marks or other trademarks or service marks, except products provided "trainer to student", through alternative channels of distribution, including without limitation, retail locations and other channels of distribution (other than LearningRx Centers) such as stores, shops, kiosks, malls, airports, and college campuses, at special events and other channels of distribution such as television, mail order, catalog sales, wholesale to unrelated retail outlets, or over the Internet, whether inside or outside the Territory;
- (d) to any websites utilizing a domain name incorporating the word "LEARNING" or "RX" or similar derivatives thereof. Franchisor retains the sole right to market on the Internet and use the Marks on the Internet, including all use of websites, social networking sites, domain names, URL's, directory addresses, metatags, linking, advertising, and co-branding and other arrangements.
Source: Item 23 — RECEIPT (FDD pages 54–209)
What This Means (2025 FDD)
According to the 2025 Learningrx Franchise Disclosure Document, Learningrx retains several rights regarding the operation and franchising of Learningrx Training Centers. Learningrx has the right to operate or franchise Learningrx centers outside of a franchisee's territory, regardless of proximity to that territory. They can also use and franchise trademarks or service marks other than the Learningrx marks, except for products provided "trainer to student," in association with operations similar to or different from Learningrx Centers.
Learningrx also retains the right to offer services or products, or grant others the right to offer them, through alternative channels of distribution, except for products provided "trainer to student." These channels include retail locations, stores, kiosks, malls, airports, special events, television, mail order, catalog sales, wholesale to unrelated retail outlets, or over the Internet, whether inside or outside the franchisee's territory. Additionally, Learningrx maintains rights to websites using domain names incorporating "LEARNING" or "RX" or similar terms.
Furthermore, Learningrx retains the sole right to market on the Internet and use its marks online, including websites, social networking sites, domain names, URLs, directory addresses, metatags, linking, advertising, and co-branding. Learningrx also has the right to acquire businesses that are the same as or similar to Learningrx Centers and operate them anywhere, including within a franchisee's territory. These rights are significant for prospective franchisees as they highlight the areas where Learningrx maintains control and can compete with its own franchisees, or offer Learningrx services through other channels.