Is a Precision Door Service franchisee allowed to advertise outside of their territory?
Precision_Door_Service Franchise · 2025 FDDAnswer from 2025 FDD Document
You may not advertise or solicit customers, perform services or sell products related to the Business outside the Territory without our prior written consent, which consent we may give, condition or withdraw as we deem appropriate. If you receive a request for services or products from outside the Territory, you must refer that request to the franchisee, if any, that owns the applicable territory, or seek our written permission to process such a request. Notwithstanding the foregoing, under certain limited circumstances, you may process such a request from outside the Territory if such activity is permitted under our Preferred Lead Program as more particularly set forth in the Operations Manual.
If we permit you to advertise, solicit, service or sell in areas outside the Territory that are not serviced by another franchisee (each, a "Territory Available for Sale" or "TAFS"), you must comply with all of the conditions and other requirements that we may from time to time specify (in the Operations Manual or otherwise in writing) with respect to such activities. At any time upon our demand or upon your actual notice that a TAFS has been purchased by another franchisee, you agree to immediately cease all activities in such TAFS and to comply with our procedures for the transition of Customer accounts for such TAFS.
Source: Item 22 — Contracts (FDD pages 91–92)
What This Means (2025 FDD)
According to Precision Door Service's 2025 Franchise Disclosure Document, franchisees generally need prior written consent from Precision Door Service to advertise or solicit customers outside of their designated territory. Precision Door Service has the right to give, condition, or withdraw this consent as it deems appropriate. If a franchisee receives a service request from outside their territory, they must refer the request to the franchisee who owns that territory, if there is one, or seek written permission from Precision Door Service to handle the request themselves. This policy ensures that franchisees primarily focus on their assigned area and do not encroach on other franchisees' territories without permission.
However, there are exceptions to this rule. Under the Preferred Lead Program, a franchisee may be allowed to perform services in a defined area outside of their territory if they are servicing an existing customer with multiple locations, both inside and outside of their territory, and if the franchisee who owns the territory participates in the Preferred Lead Program. The specific terms and conditions of the Preferred Lead Program are detailed in the Precision Door Service Operations Manual, and franchisees must meet certain qualifications to participate.
Additionally, Precision Door Service may permit a franchisee to advertise, solicit, service, or sell in areas outside the territory that are not serviced by another franchisee, referred to as "Territory Available for Sale" or TAFS. If a franchisee is allowed to operate in a TAFS, they must comply with all conditions and requirements specified by Precision Door Service. If the TAFS is purchased by another franchisee, the original franchisee must immediately cease all activities in that area and follow Precision Door Service's procedures for transitioning customer accounts.