Can Mr. Sandless require a relocated site to be within the franchisee's Designated Territory?

According to Mr. Sandless's 2025 Franchise Disclosure Document, Mr. Sandless franchisees may be required to relocate their business within their designated territory. The FDD states that franchisees cannot relocate their business without prior written consent from Mr. Sandless, and Mr. Sandless has the right to require that the relocated site be within the franchisee's designated territory or territories.

This means that if a Mr. Sandless franchisee wishes to move their business location, they must first obtain approval from Mr. Sandless. Furthermore, Mr. Sandless can mandate that the new location be within the area originally assigned to the franchisee. This stipulation gives Mr. Sandless control over where franchisees operate and ensures that relocations align with the company's overall territorial strategy.

For a prospective franchisee, this condition highlights the importance of carefully selecting the initial business location and understanding the boundaries of the designated territory. Franchisees should consider the long-term potential of their territory and the implications of potentially being restricted to that area if relocation becomes necessary. It is also important to maintain open communication with Mr. Sandless regarding any potential relocation plans to ensure compliance with the franchise agreement.