What specific activities are included in the definition of 'Competitive Business' for a Mr. Sandless franchisee?
Mr_Sandless Franchise · 2025 FDDAnswer from 2025 FDD Document
During the term of this Agreement, 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:
18.1.1 Own, maintain, engage in, be employed by, lend money to, extend credit to or have any interest in any other business offering wood floor refinishing, including 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 (a "Competitive Business"); provided, however, that this Section does not apply to your operation of any other Mr. Sandless Business pursuant to a valid franchise agreement with us or your ownership of less than five percent (5%) of any publicly held company;
Source: Item 22 — CONTRACTS (FDD page 42)
What This Means (2025 FDD)
According to the 2025 Mr. Sandless Franchise Disclosure Document, a 'Competitive Business' includes a range of activities related to wood and floor care. During the term of the Franchise Agreement, the franchisee, their principals, or immediate family members are restricted from engaging in specific business activities.
Specifically, these individuals cannot own, maintain, engage in, be employed by, lend money to, extend credit to, or have any interest in any other business offering wood floor refinishing, including 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.
However, this restriction does not apply if the franchisee is operating another Mr. Sandless Business under a valid franchise agreement or if they own less than five percent (5%) of any publicly held company. This clause aims to prevent franchisees from directly competing with the Mr. Sandless brand during the term of their agreement.