Does the Zoomin Groomin Franchise Agreement include a schedule outlining the territory for a Zoomin Groomin franchise?
Zoomin_Groomin Franchise · 2025 FDDAnswer from 2025 FDD Document
id="page-74-1">1. Scope
1.1.Franchise Relationship
A. Grant of Franchise
Zoomin Groomin grants you the right to operate a company ("Franchised Business" or "Unit Franchise") using our System and our Marks to deliver Services solely within the geographic boundaries identified in Schedule 1 (the "Territory") during the Term by and through the Franchisee Business Entity identified on the Summary Page and signature page of this Agreement (or as a sole proprietor or partnership if there is no business entity), subject to the terms and conditions of this Agreement.
B. Independent Contractors
Your relationship with us is that of an independent contractor. This Agreement does not create a partnership, joint venture, or any other entity between the Parties. Neither Party has a fiduciary duty or other special duty respect to the other party. You are not a third-party beneficiary to any contract between us and any other franchisee.
C. Your Employees
As a separate Franchise Business, you have sole and exclusive control over your employees. Neither you nor your employees and agents may make a claim as employees or agents of us for any purpose including participation in an employee benefit plan, stock option program, or workers compensation law.
D. No Unauthorized Commitments
Similarly, you will not make any promises, guarantees or warrantees to any third party that would create a binding obligation for us without our prior written consent.
E. Reserved Rights
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:
- (i) 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;
- (ii) implement cross-territorial protocols and other guidelines applicable to such situations as group advertising buys by multiple franchisees which may extend into multiple territories, solicitation of orders of individuals who may reside in one Territory, yet work in another, and other cross-territorial situations;
Source: Item 9 — 01. Financial Statements and Exhibits. (FDD pages 68–156)
What This Means (2025 FDD)
According to the 2025 Zoomin Groomin Franchise Disclosure Document, the Franchise Agreement does include a schedule outlining the territory for a Zoomin Groomin franchise. Specifically, Zoomin Groomin grants the franchisee the right to operate within the geographic boundaries identified in Schedule 1, which defines the territory.
However, the FDD also states that Zoomin Groomin franchisees will not receive an exclusive territory. Instead, franchisees receive a protected territory, which means Zoomin Groomin promises not to establish a company-owned or franchised outlet within that geographical area. Despite this protection, franchisees may still face competition from other franchisees, company-owned outlets, other distribution channels, or competitive brands controlled by Zoomin Groomin.
The franchisee is restricted from accepting orders or providing services outside of their designated territory without prior written approval from Zoomin Groomin. Furthermore, operating outside the assigned territory without permission can lead to termination of the agreement or a requirement to pass over any funds earned to the franchisee whose territory was encroached upon. This highlights the importance of adhering to the territorial boundaries and seeking approval for any activities outside of them.
Zoomin Groomin or its affiliates retain the right to make sales within a franchisee's territory using different trademarks, including potentially offering pet grooming services through brick-and-mortar locations under a different brand. This dual distribution strategy means that franchisees could face competition from related businesses operating under different brands within their own protected territory.
In summary, while Zoomin Groomin provides a defined and protected territory outlined in Schedule 1 of the Franchise Agreement, franchisees should be aware of the limitations on exclusivity and the potential for competition from various sources, including other franchisees, company-owned operations, and affiliated brands.