Clause 6 of 10 · Updated

Exclusivity and the right to match: who else can take your waste

An exclusivity clause gives the hauler the sole right to collect the waste at your listed sites for the term. A right of first refusal, or right to match, makes you show the hauler a competitor's offer and let it match before you can accept.

What does exclusivity cover?

WM's published terms give it the exclusive right to collect your waste materials at the service addresses listed.[1] Read the definition of the waste covered. If it is broad, a separate cardboard baler service, a grease or organics contract or a one-off roll-off from another company can be a breach. If it is narrow, you can buy those services separately and often more cheaply.

Where a city franchise covers your site, the franchise may already decide who may collect, and the franchise agreement controls if it conflicts with the hauler's terms.[2]

How does a right of first refusal work against you?

It makes a rebid pointless. Competitors learn that their price will be shown to the incumbent and matched, so they bid less sharply or not at all, and the incumbent only has to match rather than beat. It also means telling the incumbent a competitor's prices, which bidders may not want shared.

Maine bars both versions for small-container contracts: a contract may not require the customer to tell the hauler about prices or terms offered by competitors, or to give the hauler a chance to match or respond to a competitor's offer.[3] The Department of Justice has required contract changes meant to make it easier for customers to switch haulers in markets where it found competition lessened.[4]

What should you ask for?

  • Delete any right of first refusal, right to match or duty to disclose competing offers.
  • Exclusivity limited to the listed services and addresses, and only for the term.
  • A carve-out for recycling and special streams you may contract separately.
  • No exclusivity at all for on-call or temporary roll-off service.

Questions buyers ask

Can I use a different company for cardboard recycling?
Only if your agreement's exclusivity clause allows it. Read how it defines the waste and services covered; ask to limit it to the listed services.
Is a right of first refusal legal in a waste contract?
Generally yes, but Maine bars right-to-match and competitor-disclosure terms in small-container contracts. Elsewhere, negotiate it out.

Sources

  1. Terms and Conditions for Commercial and Roll Off (Canada), WM. Read 2026-10-28.
  2. Customer Service Agreement: Terms and Conditions (Sacramento edition), Republic Services. Read 2026-10-28.
  3. Maine Revised Statutes, Title 38, §2112: Small container contract restrictions, Maine Legislature, Office of the Revisor of Statutes. Read 2026-10-28.
  4. Justice Department reaches settlement with Waste Industries USA Inc. (August 8, 2005), US Department of Justice. Read 2026-10-28.