Who owns the rights and goodwill in any of the Marks associated with the Aerus franchise?
Aerus Franchise · 2025 FDDAnswer from 2025 FDD Document
an the Marks, (8) sell any product or service that is not a Product, or (9) permit any Product to be sold from any physical location other than an Approved Location, by any Person other than an authorized representative of Franchisee or in a manner otherwise inconsistent with the System.
- H. Notwithstanding the foregoing and without limiting the generality of the provisions contained in this Section, Franchisee acknowledges that Company and its Affiliates and existing franchisees, distributors and licensees operate existing businesses and systems, and may in the future establish and operate new businesses and systems, including Aerus Businesses, under the same and other assumed names, trade names and trademarks as the Marks, which businesses and systems may offer or sell products and services similar or identical to the Products, and may do so (or grant licenses or franchises for third-parties to do so) within any part of the Area of Responsibility (except as limited by the rights granted hereunder). The right granted under this Agreement is only for the operation of the Franchised Business in accordance with this Agreement. Franchisee is granted no rights of any kind in and to any other business or system that may now or hereafter be owned, operated or licensed by Company or any of its Affiliates. Company and Company's Affiliates retain all rights not expressly granted herein. Company reserves the right to provide new products and services under the System, and to require or permit new products and services to be provided, marketed, promoted, distributed or sold hereunder by Franchisee through the Franchised Business, and may, in connection therewith, without limitation (1) require Franchisee to execute an additional or supplemental agreement and (2) require the payment of a royalty.
- I. If not an existing Aerus Business, Franchisee shall open the Franchised Business at an Approved Location not later than the Opening Date. Company will identify any modifications or improvements to the premises of the Franchised Business, if any, which Franchisee shall make, at Franchisee's expense, prior to the Opening Date, or within such time period ending after the Opening Date as Company may designate in writing.
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- Term. Unless sooner terminated as provided herein, the duration of the initial term (the "Initial Term") and the renewal term (the "Renewal Term") will be as stated in Schedule 1 attached hereto, which, collectively, shall constitute the "Term" of this Agreement. Upon the expiration of the Initial Term, Franchisee may renew the franchise for one (1) Renewal Term, provided Company is then offering new franchise rights for the establishment of Aerus Businesses in the State where the franchise subject to renewal is located and provided Franchisee meets all of the following conditions: (1) Franchisee has no uncured Event of Default under the Agreement at the time of renewal; (2) Franchisee gives Company written notice of Franchisee's desire to renew at least thirty (30) days prior to the end of the Initial Term;
Source: Item 23 — Receipts (FDD pages 74–305)
What This Means (2025 FDD)
According to Aerus's 2025 Franchise Disclosure Document, the company and its affiliates retain all rights not expressly granted to the franchisee. The franchisee is granted rights only to operate the franchised business according to the franchise agreement. The franchisee receives no rights to any other business or system owned, operated, or licensed by Aerus or its affiliates. Aerus also retains the right to introduce new products and services under the system, potentially requiring franchisees to execute additional agreements and pay royalties.
Aerus and its affiliates operate existing businesses and systems and may establish new ones, including Aerus businesses, under the same or other names and trademarks as the Marks. These businesses may offer products and services similar or identical to those of the franchisee, even within the franchisee's area of responsibility, except as specifically limited by the franchise agreement.
Furthermore, franchisees are restricted from using any trade name, trademark, or service mark other than the Marks in connection with their franchised business. They can only use the Marks in strict accordance with the franchise agreement, policies and procedures, manuals, and any specific guidelines imposed by Aerus. This underscores that Aerus retains ownership and control over its brand and trademarks, granting franchisees a limited license for their specific business operation.