What is the date of the Roush License Agreement that Aunt Millies Bakeries has for the 'Hillbilly' mark?
Aunt_Millies_Bakeries Franchise · 2025 FDDAnswer from 2025 FDD Document
In our License Agreement ("Roush License Agreement") dated December 10, 1975 with Roush Bakery Products, Inc. ("Roush"), we have the exclusive right to manufacture and sell Hillbilly Bread in certain areas of Indiana and Ohio ("Our Roush Territory"). If your Sales Area is within Our Roush Territory, you may distribute Hillbilly Bread products as well as Aunt Millie's and Koepplinger's products. The term of the Roush License Agreement is for an indefinite period of time, although we may cancel it by giving 120 days written notice. Roush may terminate the Roush License Agreement upon 10 days' notice for cause, including: our failure to follow Roush's recipes, our failure to maintain at least 40 grocery routes for the distribution of Hillbilly Bread, our failure to sell an average of at least 100 units of Hillbilly bread per route per week over a 30 day period, our discontinuing the manufacture and/or sale of the Hillbilly products for a period of 30 or more days, or in the event of our insolvency, assignment for the benefit of creditors, or the filing of a bankruptcy petition.
Source: Item 13 — TRADEMARKS (FDD pages 29–30)
What This Means (2025 FDD)
According to Aunt Millies Bakeries' 2025 Franchise Disclosure Document, the Roush License Agreement, which grants Aunt Millies Bakeries the right to manufacture and sell products under the "Hillbilly" mark, is dated December 10, 1975. This agreement is between Aunt Millie's Bakeries and Roush Bakery Products, Inc.
For a prospective franchisee, this means that if their sales area falls within the specified territory in Indiana and Ohio, they have the opportunity to distribute Hillbilly Bread products in addition to Aunt Millie's and Koepplinger's products. This could potentially increase revenue streams for the franchisee.
However, the Roush License Agreement is subject to certain termination conditions. Aunt Millies Bakeries can cancel the agreement with 120 days' written notice, while Roush Bakery Products, Inc. can terminate it with only 10 days' notice if Aunt Millies Bakeries fails to meet specific requirements. These requirements include following Roush's recipes, maintaining at least 40 grocery routes for Hillbilly Bread distribution, selling an average of at least 100 units of Hillbilly bread per route per week over a 30-day period, discontinuing the manufacture and/or sale of Hillbilly products for 30 or more days, or in the event of insolvency or bankruptcy. These conditions highlight the importance of operational efficiency and adherence to the licensor's standards to maintain the right to sell Hillbilly Bread.
The agreement's indefinite term offers long-term potential, but the termination clauses introduce risk. A franchisee should carefully consider these factors and assess their ability to meet the required sales and operational standards before investing in an Aunt Millies Bakeries franchise, especially if their business plan relies on sales of Hillbilly Bread.