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I want to purchase a retail franchise, but only want to run one store. Can the franchisor force me t
The franchisor can only force a franchisee to open more than one store if the franchisee has contractually agreed to do so. It is quite unusual in a typical franchise relationship for a franchisor to encourage a franchisee to open more than one store, let alone for a franchisor to try to force the franchisee to open more than one. It is more likely that a franchisor will actively deter a franchisee from operating more than one store. Most franchisors impose an obligation on their franchisees to devote their whole time to operating one franchise store in their franchise agreement, because they want their franchisees to do all they can to make that business a success. However, some franchisors are open to the possibility of its successful franchisees taking on additional stores, but usually only if certain conditions are met by the franchisee. If a potential franchisee is considering taking a franchise to operate one store, but is suspicious that a franchisor may require it to operate more than one, then the potential franchisee should consider carefully any documentation that it is asked to sign by the franchisor. Ideally any written document should be reviewed by a franchise lawyer who will be able to point out any potential risks as well as any obligations relating to the operating of multiple stores.
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