factual

With whom does Aunt Millies Bakeries have a license agreement for the 'Hillbilly' mark?

Aunt_Millies_Bakeries Franchise · 2025 FDD

Answer 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's 2025 Franchise Disclosure Document, they have a license agreement with Roush Bakery Products, Inc. for the 'Hillbilly' mark. This agreement, known as the Roush License Agreement, was established on December 10, 1975. It grants Aunt Millies Bakeries the exclusive right to manufacture and sell Hillbilly Bread within specific areas of Indiana and Ohio, referred to as 'Our Roush Territory.'

For a prospective Aunt Millies Bakeries franchisee, this means that if their sales area falls within 'Our Roush Territory,' they are permitted to distribute Hillbilly Bread products in addition to Aunt Millie's and Koepplinger's products. This could provide an additional revenue stream for franchisees operating in the designated regions. However, it's important to note that the Roush License Agreement has specific conditions that Aunt Millies Bakeries must adhere to, and any failure to meet these conditions could lead to termination of the agreement.

The Roush License Agreement is for an indefinite period but can be canceled by Aunt Millies Bakeries with 120 days' written notice. Roush Bakery Products, Inc. can terminate the agreement with just 10 days' notice if Aunt Millies Bakeries fails to follow Roush's recipes, maintain at least 40 grocery routes for Hillbilly Bread distribution, sell an average of at least 100 units of Hillbilly bread per route per week over a 30-day period, discontinues the manufacture or sale of Hillbilly products for 30 or more days, or faces insolvency or bankruptcy. This highlights the importance of operational compliance and financial stability for Aunt Millies Bakeries to maintain the licensing agreement and the associated product line.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.