Is an Aplus franchisee required to obtain a fictitious name registration?
Aplus Franchise · 2024 FDDAnswer from 2024 FDD Document
You do not receive any rights to the Marks other than the exclusive right to use them in the operation of your APLUS Store. You must follow our rules when you use the Marks. You must use the Marks as the sole trade identification of the APLUS Store, except as may be required otherwise. You cannot use a name or Mark as part of a corporate name or with modifying words, designs or symbols except for those which we license to you. You may not use any Mark in connection with the sale of any unauthorized services or products, or in any other manner that we do not authorize in writing. You must obtain a fictitious or assumed name registration if required by your state or local law. Any unauthorized use of the Marks by you is a breach of the Franchise Agreement and an infringement of our rights in the Marks. You must not contest the validity or ownership of the Marks, including any Marks that we license to you after you sign the Franchise Agreement. You must not assist any other person in contesting the validity or ownership of the Marks.
Source: Item 13 — TRADEMARKS (FDD pages 47–50)
What This Means (2024 FDD)
According to Aplus's 2024 Franchise Disclosure Document, franchisees are required to obtain a fictitious or assumed name registration if mandated by their state or local laws. This means that if the state or local jurisdiction where the Aplus store will operate requires businesses using a name different from their registered legal name to register that fictitious name, the franchisee must comply. This requirement ensures that the business operates legally and transparently within its locality.
The franchisee must use the Aplus Marks as the sole trade identification of the Aplus Store, unless otherwise required. Franchisees cannot use a name or mark as part of a corporate name or with modifying words, designs, or symbols, except for those licensed by Aplus. Additionally, franchisees are prohibited from using any Mark in connection with the sale of unauthorized services or products, or in any manner not authorized in writing by Aplus.
Failure to obtain the necessary fictitious name registration, if required, or any unauthorized use of the Marks constitutes a breach of the Franchise Agreement and an infringement of Aplus's rights in the Marks. Franchisees are also prohibited from contesting the validity or ownership of the Marks, including any Marks licensed after signing the Franchise Agreement, and from assisting others in doing so. Therefore, it is crucial for prospective Aplus franchisees to investigate and comply with all applicable state and local laws regarding fictitious name registrations to avoid legal issues and maintain compliance with the franchise agreement.