What actions are prohibited outside the Alloy Facility without written authorization?
Alloy Franchise · 2025 FDDAnswer from 2025 FDD Document
The rights granted under this Agreement are limited to the right to develop Facilities located in the Development Territory, and do not include (i) any right to sell products and services identified by the Trademarks at any location or through any other channels or methods of distribution, including the Internet (or any other existing or future form of electronic commerce), other than at Facilities within the Development Territory pursuant to the terms of the applicable Franchise Agreement, (ii) any right to sell products and services identified by the Trademarks to any person or entity for resale or further distribution, or (iii) any right to exclude, control or impose conditions on our development or operation of franchised, company or affiliate owned facilities at
any time or at any location outside of the Development Territory. You may not use the words ALLOY or any of the other Trademarks as part of the name of your corporation, partnership, limited liability company or other similar entity.
Source: Item 23 — RECEIPTS (FDD pages 69–245)
What This Means (2025 FDD)
According to Alloy's 2025 Franchise Disclosure Document, franchisees are restricted from certain activities outside of their designated Alloy facility without explicit written consent. Specifically, franchisees cannot use the Alloy trademarks as part of their business's legal entity name, such as in the name of their corporation or LLC. This restriction applies at any time or location outside of the Development Territory.
This limitation ensures that Alloy maintains control over its brand identity and prevents franchisees from creating confusion or diluting the brand's value through unauthorized use of its trademarks. It also clarifies that the rights granted to franchisees are limited to operating within their specific Development Territory and do not extend to other locations or channels of distribution.
For a prospective Alloy franchisee, this means they must obtain written authorization from Alloy before engaging in any activities that involve the Alloy brand outside of their facility or Development Territory. This includes marketing efforts, sales, or any other business activities that could be perceived as representing Alloy. Failing to comply with these restrictions could result in a breach of the franchise agreement and potential legal consequences.