Does the non-compete radius for Ledgers extend to the franchisee's territory only, or does it include other Ledgers locations?

According to Ledgers's 2025 Franchise Disclosure Document, franchisees receive a protected territory, but this protection is limited. While Ledgers promises not to establish a company-owned or franchised location within the franchisee's defined geographical area, franchisees may still face competition from various sources.

Specifically, franchisees may encounter competition from other franchisees, outlets owned by Ledgers, other distribution channels, or competitive brands controlled by Ledgers. The FDD clarifies that Ledgers, its parent company, and affiliates reserve rights not expressly granted in the Franchise Agreement, including the right to use other distribution channels like the Internet or telemarketing to solicit customers within a franchisee's territory. They can also establish franchised businesses outside the territory.

Furthermore, Ledgers's affiliate, ATAX LLC, offers similar services and may solicit or accept orders from within a Ledgers franchisee's territory. The document also states that franchisees and other franchisees may not solicit orders from consumers outside of their territory but may accept them. This indicates that while there are some territorial protections, the non-compete provisions are primarily focused on preventing Ledgers from establishing additional locations within a franchisee's territory, rather than preventing competition from other franchisees or affiliated businesses operating outside of it.