Under what circumstances will Ledgers direct inquiries for services from within a franchisee's territory to the Ledgers franchised business?
Ledgers Franchise · 2025 FDDAnswer from 2025 FDD Document
We, our parent, and our affiliates reserve all rights not expressly granted in the Franchise Agreement. For example, we, our parent, and our affiliates have the right to:
- (a) use other channels of distribution, such as the Internet, catalog sales, telemarketing, or other direct marketing sales, to solicit or accept customers within your Territory using our principal trademarks (or another trademark) without any compensation to you, except that we will normally direct inquiries for services from within your Territory to your Franchised Business
Source: Item 12 — TERRITORY (FDD pages 32–34)
What This Means (2025 FDD)
According to Ledgers's 2025 Franchise Disclosure Document, Ledgers, its parent, and its affiliates reserve the right to use various channels of distribution, such as the Internet, catalog sales, telemarketing, or other direct marketing sales, to solicit or accept customers within a franchisee's territory using their trademarks. However, Ledgers states that they will normally direct inquiries for services originating from within a franchisee's territory to that franchisee's franchised business.
This means that while Ledgers retains the right to market and solicit customers through various channels, they typically forward customer inquiries from a specific territory to the franchisee operating in that area. This practice can be beneficial for franchisees as it provides them with potential leads and customers generated by Ledgers's broader marketing efforts.
However, it's important to note the use of the word "normally," which suggests that there might be exceptions to this practice. The FDD does not elaborate on what those exceptions might be. A prospective franchisee should seek clarification from Ledgers regarding the specific circumstances under which inquiries might not be directed to the local franchisee to fully understand the potential impact on their business.