What happens if an Anago franchisee makes unauthorized use of the Proprietary Marks?
Anago Franchise · 2025 FDDAnswer from 2025 FDD Document
the Proprietary Marks when expanding into those territories.
Your Rights and Obligations With Respect to the Proprietary Property Including the Proprietary Marks
Your rights to use the Proprietary Marks are derived solely from your Subfranchise Rights Agreement and are limited to the operation of your Anago Subfranchise Rights Business under your Subfranchise Rights Agreement and all applicable standards, specifications, and operating procedures we require during the Term. Any unauthorized use of the Proprietary Property including the Proprietary Marks is a breach of your Subfranchise Rights Agreement and an infringement of our and ACS'srights in and to the Proprietary Marks. "Proprietary Property" refers to the Proprietary Marks, Confidential Information (as defined in Item 14) and copyrighted information or us and our affiliates that you are entitled to use under the Subfranchise Rights Agreement.
Your use of the Proprietary Property and any goodwill established by your use inures to our exclusive benefit. The Subfranchise Rights Agreement does not confer any goodwill or other interest in the Proprietary Property to you, other than the right to operate an Anago Subfranchise Rights Business in compliance with the Subfranchise Rights Agreement in the Area. All provisions of the
Subfranchise Rights Agreement applicable to the Proprietary Property will apply to any other trademarks, service marks, commercial symbols, designs, artwork, and logos that we adopt, use, authorize and sublicense to you to use during the Term.
You must use the Proprietary Marks as the sole trade identification of your Anago Franchise, and must identify your Anago Subfranchise Rights Business in the form we require as the independent owner and operator of the Anago Franchise. You must use all Proprietary Marks and other commercial symbols that we sublicense in full compliance with rules we require. You are prohibited from using any Proprietary Marks (including any future commercial marks we license) in the sale of any unauthorized product or service or in any manner we have not explicitly authorized. You cannot use the Proprietary Marks as, or part of, your corporate or partnership name. You must follow our instructions in applying for any fictitious, trade or assumed name for the Anago trade name.
Source: Item 13 — TRADEMARKS (FDD pages 38–41)
What This Means (2025 FDD)
According to Anago's 2025 Franchise Disclosure Document, franchisees' rights to use Anago's Proprietary Marks are derived solely from the Subfranchise Rights Agreement. These rights are specifically limited to operating the Anago Subfranchise Rights Business under the terms of this agreement, including all applicable standards, specifications, and operating procedures.
Any unauthorized use of Anago's Proprietary Property, including the Proprietary Marks, constitutes a breach of the Subfranchise Rights Agreement. This breach also infringes upon the rights of both Anago and ACS (the owner of the trademarks) to the Proprietary Marks. The term "Proprietary Property" encompasses the Proprietary Marks, Confidential Information, and copyrighted material that franchisees are entitled to use under the Subfranchise Rights Agreement.
Anago franchisees must use the Proprietary Marks as the sole trade identification of their Anago franchise and identify their Anago Subfranchise Rights Business as an independently owned and operated entity in the manner prescribed by Anago. Franchisees are prohibited from using any Proprietary Marks in the sale of unauthorized products or services or in any manner not explicitly authorized by Anago. They also cannot use the Proprietary Marks as part of their corporate or partnership name and must adhere to Anago's instructions when applying for any fictitious, trade, or assumed name for the Anago trade name. Furthermore, franchisees are not allowed to use the Proprietary Property as security for any obligation or indebtedness.
Anago franchisees are also restricted from registering or using any domain name or URL that contains "Anago Cleaning Systems" or any portion thereof, the initials "ACS" or "AFI," any Proprietary Marks, or other related or confusingly similar words or symbols without Anago's prior written consent. Similarly, franchisees may not use any Proprietary Mark or any derivation of the Proprietary Marks on the Internet, in any electronic advertising, or on social media without Anago's prior written consent.