If a third party claims rights to Aerus's patents, copyrighted material, or proprietary information, what action is an Aerus franchisee required to take?
Aerus Franchise · 2025 FDDAnswer from 2025 FDD Document
You must notify us immediately by telephone, and thereafter in writing, of any apparent infringement of or challenge to your use of any patents, copyrighted material or proprietary information, or of any claim by any person of any rights therein. We will have the right to take such action as we deem appropriate in connection with the foregoing, including the right to control any settlement, litigation or proceeding arising out of any such alleged infringement, challenge or claim or otherwise relating to any of the patents, copyright and proprietary information. You must execute any and all instruments and documents, render such assistance, and do such acts or things as may, in our reasonable opinion, be necessary or advisable to protect and maintain our or our affiliate's interests in any litigation or other proceeding or to otherwise protect and maintain our, our affiliates or any other interested party's interest in the patents, trademarks or proprietary information.
Source: Item 14 — Patents, Copyrights, and Proprietary Information (FDD pages 51–53)
What This Means (2025 FDD)
According to Aerus's 2025 Franchise Disclosure Document, if a franchisee faces an infringement or challenge to their use of patents, copyrighted material, or proprietary information, or if someone claims rights to these, they must immediately notify Aerus by telephone and then in writing.
Aerus has the right to take any action it deems appropriate, including controlling settlements, litigation, or proceedings related to the alleged infringement, challenge, or claim. The franchisee is obligated to execute documents, provide assistance, and perform actions that Aerus considers necessary to protect its interests or its affiliates' interests in any litigation or proceeding, or to otherwise protect and maintain the interests of Aerus, its affiliates, or any other interested party in the patents, trademarks, or proprietary information.
This clause is typical in franchise agreements, as franchisors need to protect their intellectual property. It ensures that Aerus maintains control over its brand and system, and that franchisees cooperate in protecting these assets. The franchisee's role is primarily to report any potential issues and to assist Aerus in any legal actions.