A franchise contract cannot give exclusive territorial rights to a certain geographic area to a franchisee, due to antitrust laws.

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Quizplus · Accepted Answer

Franchise contracts often grant exclusive territorial rights to franchisees, allowing them to operate without direct competition from the same franchise within a certain geographic area. This practice is generally legal and does not inherently violate antitrust laws, as it can be part of the franchisor's business model to ensure market coverage and avoid internal competition.

A Franchise Contract Cannot Give Exclusive Territorial Rights to a Certain