What is the All Team franchisee's responsibility regarding the use of collateral?
All_Team Franchise · 2025 FDDAnswer from 2025 FDD Document
RANCHISEE will receive three email addresses for free, and then FRANCHISEE must pay ATFC $4 per week for each additional email address used by the Agency (the "Email Address Fee"). The Email Address Fee is paid at the same time and in the same manner as the Technology Fee.
IX. PROPRIETARY MARKS
A. Right to Use Marks. ATFC represents that it owns the registrations to the Marks and has the rights to use the Marks and sublicense the rights to use the Marks according to the terms of this Agreement. FRANCHISEE recognizes that valuable goodwill is attached to the Marks, and that it will use same only in the manner and to the extent specifically licensed by this Agreement. Any goodwill arising out of FRANCHISEE's use of the Marks inures to the benefit of ATFC. FRANCHISEE further acknowledges that the right to use said Marks and the grant contained in this Agreement is non-exclusive. Any unauthorized use of the Marks by the FRANCHISEE is a breach of this Agreement and an infringement of the rights of ATFC. FRANCHISEE agrees that the unauthorized use or misuse of the Marks will constitute irreparable harm to ATFC, and FRANCHISEE expressly waives any requirement that ATFC post security in order to obtain injunctive relief in connection with such use. All provisions of this Agreement applicable to the Marks apply to any additional trademarks, service marks, and commercial symbols hereafter authorized for use by and licensed to the FRANCHISEE.
B. Contest of Marks. FRANCHISEE will not directly or indirectly contest or aid in contesting the validity or ownership of the Marks, trade secrets, methods, procedures and advertising techniques which are part of the Systems, or contest ATFC's right to register, use or license others to use such names and Marks, trade secrets, methods, procedures and techniques. FRANCHISEE will not at any time (whether during the term of this Agreement or after expiration or termination thereof) directly or indirectly commit an act of infringement.
FRANCHISEE agrees to promptly notify ATFC of any claim, demand, or suit based upon or arising from any attempt by anyone else to use the Marks, any challenge to the validity of the Marks or any challenge to the ownership by ATFC of the Marks, or FRANCHISEE's right to use the Marks. ATFC shall have the sole discretion to take such actions as it deems appropriate and the right to exclusively control any litigation, U.S. Patent and Trademark Office proceeding, or other administrative proceeding arising out of any such apparent infringement, challenge or claim or otherwise relating to any Mark including settlement thereof. FRANCHISEE shall execute any and all instruments and documents, render such assistance and do such acts and things as may, in the opinion of ATFC's, be necessary or advisable to protect and maintain the interest of ATFC in such litigation, U.S. Patent and Trademark Office proceeding or other administrative proceeding and to otherwise protect and maintain the interests of ATFC in the Marks. Notwithstanding anything herein to the contrary, ATFC will not be required to defend FRANCHISEE against such claim or challenge if said claim or challenge arises out of FRANCHISEE's unauthorized use or misuse of the Marks.
- C. Prohibition on Use of Name. FRANCHISEE will not use any of the Marks or the name "All Team", "Med Team Support Staffing", "Food Team", "All Team Staffing" or "Resources in Food" as part of its corporate name. FRANCHISEE shall, however, identify itself as a franchisee of ATFC. FRANCHISEE shall not incur any obligations or indebtedness except in FRANCHISEE's name. Further, FRANCHISEE shall not use the Marks (or any marks or names confusingly similar thereto) as an Internet domain name or in the content of any website, directory or listing.
- D. Change of Marks. ATFC shall have the right to change the Marks to be used by FRANCHISEE at any time and for any reason it deems appropriate. FRANCHISEE shall pay the costs associated with such change and shall make such necessary changes promptly.
Source: Item 22 — CONTRACTS (FDD pages 33–34)
What This Means (2025 FDD)
According to All Team's 2025 Franchise Disclosure Document, franchisees must adhere to specific guidelines regarding the use of the company's proprietary marks. All Team retains ownership of its registered marks and licenses their use to franchisees, who must recognize the goodwill associated with these marks and use them only as explicitly permitted in the franchise agreement. Any goodwill that arises from a franchisee's use of the marks benefits All Team. Unauthorized use of these marks constitutes a breach of the agreement and an infringement of All Team's rights.
All Team franchisees are prohibited from contesting the validity or ownership of the marks, trade secrets, methods, procedures, and advertising techniques that are part of the All Team system. This restriction applies both during the term of the agreement and after its expiration or termination. Franchisees also agree not to engage in any activity that infringes upon All Team's trademarks.
All Team has the right to change the marks used by franchisees at any time, and franchisees are responsible for the costs associated with these changes. Franchisees must promptly implement any necessary changes. However, in the event of a change to the marks, franchisees are allowed a reasonable time to use up existing supplies bearing the old marks, provided that such use does not violate any laws, court or administrative orders, or the rights of third parties. Franchisees cannot use the marks as part of their corporate name but must identify themselves as an All Team franchisee. They are also prohibited from using the marks in internet domain names or website content without All Team's pre-approval. All Team retains the sole right to advertise on the internet and create websites using the marks.