What happens if someone challenges the validity of the All Team Marks?
All_Team Franchise · 2025 FDDAnswer from 2025 FDD Document
TFC'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.
Source: Item 22 — CONTRACTS (FDD pages 33–34)
What This Means (2025 FDD)
According to All Team's 2025 Franchise Disclosure Document, if a third party challenges the validity of the All Team Marks, the franchisee is required to promptly notify All Team Franchise Corporation (ATFC). ATFC has the sole discretion to decide what actions to take in response to the challenge, and it has the exclusive right to control any litigation, U.S. Patent and Trademark Office proceeding, or other administrative proceeding related to the infringement, challenge, or claim, including settling the matter.
The franchisee must execute all necessary documents and provide assistance to protect All Team's interests in any legal or administrative proceedings related to the Marks. However, All Team is not required to defend the franchisee if the claim or challenge arises from the franchisee's unauthorized use or misuse of the Marks.
Furthermore, the franchisee cannot contest the validity or ownership of the Marks, trade secrets, methods, procedures, and advertising techniques that are part of the All Team system, nor can they contest All Team's right to register, use, or license others to use these assets. The franchisee is also prohibited from infringing on the Marks, even after the franchise agreement expires or terminates. This is a fairly standard clause in franchise agreements, as the protection of the brand's intellectual property is crucial for maintaining the franchise system's integrity and value.