u/Daviddiyer

I reviewed my franchise agreement properly and realised the post-exit restrictions are much broader than I originally understood.

The agreement says that after leaving, for 18 months I cannot:

• own
• operate
• work for
• assist
• or have any interest in

a similar business within 50km of my territory OR any other franchise territory. It also says they can seek injunctions/restraining orders through court and potentially recover legal costs if they enforce the clause.
I have consulted with a lawyer and paid thousands. They said it cannot be challenged and the agreement is in favor of the Franchisor.
Would appreciate hearing from anyone who has dealt with franchise restraints, employment restrictions in NZ.

Thank you