What is the definition of 'Developments' in the context of an Angry Chickz franchise agreement?
Angry_Chickz Franchise · 2025 FDDAnswer from 2025 FDD Document
To the extent any Development does not qualify as a "work made-for-hire" for Company, by this section, Franchisee hereby assigns and shall assign ownership of that item, and all related rights to that item, to Company and agrees to sign (and cause its Owners, employees and contractors to sign) whatever assignment or other documents Company requests to evidence Company's ownership and to help Company obtain intellectual property rights in the item.
Franchisee may not use any Development in operating the Franchised Business or otherwise without Company's prior written approval.
Source: Item 22 — CONTRACTS (FDD page 54)
What This Means (2025 FDD)
According to the 2025 Angry Chickz Franchise Disclosure Document, if any development does not qualify as a "work made-for-hire" for Angry Chickz, the franchisee is required to assign ownership of that item, along with all related rights, to Angry Chickz. This includes ensuring that the franchisee's owners, employees, and contractors sign any necessary documents to evidence Angry Chickz's ownership and to help Angry Chickz secure intellectual property rights in the item.
Furthermore, the franchisee is prohibited from using any development in operating the franchised business or in any other way without obtaining Angry Chickz's prior written approval. This means that any new creations, modifications, or improvements related to the Angry Chickz business concept that a franchisee develops automatically become the property of the franchisor, and the franchisee cannot use them without explicit permission.
This clause protects Angry Chickz's intellectual property and ensures that any innovations or improvements made by franchisees can be standardized and implemented across the entire franchise system. For a prospective franchisee, this means that while they may contribute to the evolution of the Angry Chickz system, they will not own the rights to their creations and must seek approval to use them, which is a fairly standard practice in franchising.