factual

If All Team modifies or discontinues the use of its Marks, what is the All Team franchisee's obligation?

All_Team Franchise · 2025 FDD

Answer from 2025 FDD Document

If we decide to modify or discontinue the use of the Marks and/or to use one or more additional or substitute names or marks, you will be obligated to do so at your own expense and without claim against us. You will need to comply within a reasonable time of the request.

Source: Item 13 — TRADEMARKS (FDD pages 26–27)

What This Means (2025 FDD)

According to All Team's 2025 Franchise Disclosure Document, if All Team decides to modify or discontinue the use of its Marks, franchisees are obligated to comply at their own expense and without any claim against All Team. This includes adopting any additional or substitute names or marks that All Team introduces. Franchisees must comply with these changes within a reasonable time frame after All Team's request.

This requirement places the financial burden of rebranding on the franchisee. For example, if All Team decides to update its logo or change its name, franchisees will be responsible for the costs associated with updating signage, marketing materials, and other branded items. The FDD does not define what constitutes a 'reasonable time,' so franchisees should seek clarification on this point to understand the expected turnaround for implementing such changes.

This clause is relatively common in franchise agreements, as franchisors need the flexibility to update their brand to stay competitive or address legal challenges. However, the financial impact on franchisees can be significant, especially if changes are frequent or require substantial investment. Prospective All Team franchisees should carefully consider this potential expense and factor it into their financial planning. They may also want to discuss with existing franchisees how often All Team has modified its marks in the past and the typical costs associated with such changes.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.