After the Mr. Sandless agreement terminates, am I allowed to participate in a competitive business indirectly through another person or corporation?
Mr_Sandless Franchise · 2025 FDDAnswer from 2025 FDD Document
18.2 After the Term of This Agreement
18.2.1 For a period of two (2) years after the expiration (provided you have not entered into a successor franchise agreement), transfer or termination of this Agreement, regardless of the cause, neither you, your principals, nor any member of the immediate family of you or your principals may, directly or indirectly, for themselves or through, on behalf of, or in conjunction with any other person, partnership or corporation participate in any Competitive Business which includes sanding, dustless refinishing, screening and recoats, sandless refinishing, wood polishing, wood floor care, wood floor cleaning, floor maintenance, floor care, floor refinishing, and floor cleaning for tile, VCT, terrazzo, marmoleum, linoleum, vinyl, asphalt, rubber, laminates, concrete, slate, brick, stone, granite, grout sealing and coloring, ceramic floors, and cabinet refinishing, and exterior wood refinishing or any other services and/or products similar to those offered under the System.
18.2.2 For a period of two (2) years after the expiration, transfer or termination of this Agreement, regardless of the cause, neither you, your principals, nor any member of the immediate family of you or your principals may, directly or indirectly, for themselves or through, on behalf of, or in conjunction with any other person, partnership or corporation:
(i) Own, maintain, engage in, be employed by, or have any interest in any Competitive Business which includes sanding, dustless refinishing, screening and recoats, sandless refinishing, wood polishing, wood floor care, wood floor cleaning, floor maintenance, floor care, floor refinishing, and floor cleaning for tile, VCT, terrazzo, marmoleum, linoleum, vinyl, asphalt, rubber, laminates, concrete, slate, brick, stone, granite, grout sealing and coloring, ceramic floors, and cabinet refinishing, and exterior wood refinishing or any other services and/or products similar to those offered under the System within the Designated Territory; or within a radius of fifty (50) miles of any Mr.
Sandless Business in operation; or
Source: Item 22 — CONTRACTS (FDD page 42)
What This Means (2025 FDD)
According to the 2025 Mr. Sandless Franchise Disclosure Document, after the franchise agreement terminates, there are restrictions on your ability to participate in a competitive business, either directly or indirectly. For a period of two years after the expiration, transfer, or termination of the agreement, you, your principals, or any member of your immediate family cannot participate in a Competitive Business. This restriction applies regardless of the cause of termination.
Specifically, you are prohibited from engaging in activities such as sanding, dustless refinishing, screening and recoats, sandless refinishing, wood polishing, wood floor care, wood floor cleaning, floor maintenance, floor care, floor refinishing, and floor cleaning for tile, VCT, terrazzo, marmoleum, linoleum, vinyl, asphalt, rubber, laminates, concrete, slate, brick, stone, granite, grout sealing and coloring, ceramic floors, and cabinet refinishing, and exterior wood refinishing or any other services and/or products similar to those offered under the Mr. Sandless system. This includes owning, maintaining, being employed by, or having any interest in such a business.
This restriction extends to the Designated Territory and within a 50-mile radius of any Mr. Sandless Business in operation. The restriction applies whether you act directly or indirectly, for yourself, or through another person, partnership, or corporation. Therefore, you cannot circumvent the non-compete clause by operating a competitive business through another entity or individual.