What is an Anago franchisee obligated to do upon any infringement of, or challenge to, their use of any copyrighted work?

According to Anago's 2025 Franchise Disclosure Document, if there is any infringement of, or challenge to, a franchisee's use of any copyrighted work, the franchisee is obligated to immediately notify Anago. Anago then has the sole discretion to take any action it deems appropriate.

This means that if a franchisee is accused of copyright infringement or faces a challenge to their right to use copyrighted material in their Anago business, they must inform Anago immediately. It is then up to Anago to decide how to respond to the situation. The franchisee does not have the authority to independently address the issue.

Furthermore, if Anago decides that it is advisable to modify or discontinue the use of any copyrighted work, or to use a new or derivative copyrighted work, the franchisee is obligated to comply with Anago's decision. However, the FDD specifies that Anago is not required by the Subfranchise Rights Agreement to defend the franchisee against any infringement, unfair competition, or other claim respecting the franchisee's use of any copyrighted work. This indicates that while Anago will be notified and has the discretion to act, the franchisee may ultimately be responsible for their own legal defense in such matters.