Is All County obligated to protect any patents, patent applications, or copyrights used by franchisees?
All_County Franchise · 2025 FDDAnswer from 2025 FDD Document
We are not obligated to protect any patents, patent applications, or copyrights, nor are we obligated to defend you against any claims arising from your use of any patented or copyrighted items. The Franchise Agreement does not require us to take any affirmative action when notified of a patent or copyright infringement. We have the right to control any litigation relating to any patent or copyright. We are not obligated to participate in the defense of a franchisee or indemnify the franchisee for expenses or damages in a proceeding involving a patent, patent application, or copyright licensed to the franchisee. We may require you to modify or discontinue using any subject matter covered by a patent or copyright and you are required to comply with any instructions we specify to you relating to the use of a patent or copyright.
Source: Item 14 — Patents, Copyrights, and Proprietary Information (FDD page 30)
What This Means (2025 FDD)
According to All County's 2025 Franchise Disclosure Document, All County is not obligated to protect any patents, patent applications, or copyrights used by its franchisees. All County also has no obligation to defend franchisees against claims arising from the use of any patented or copyrighted items. The franchise agreement does not require All County to take any action if notified of a patent or copyright infringement. However, All County retains the right to control any litigation relating to a patent or copyright.
All County is not obligated to participate in the defense of a franchisee or indemnify the franchisee for expenses or damages in a proceeding involving a patent, patent application, or copyright licensed to the franchisee. All County may require franchisees to modify or discontinue using any subject matter covered by a patent or copyright, and franchisees are required to comply with any instructions All County specifies relating to the use of a patent or copyright.
This means that as an All County franchisee, you bear the risk of intellectual property infringement claims related to your business operations. If a third party claims that your use of certain materials or processes infringes on their patent or copyright, All County is not required to defend you or cover your expenses. You may be required to change your business practices to avoid infringement, potentially disrupting your operations. It is important to be aware of these risks and consider obtaining your own legal counsel and insurance to protect yourself against such claims.