Can Auntie Annes change the Intellectual Property used in the System?

According to Auntie Annes' 2024 Franchise Disclosure Document, Auntie Annes has the authority to modify the Intellectual Property used in its franchise system. Specifically, Auntie Annes retains the right to change, discontinue, or substitute any of its Intellectual Property, and to adopt entirely new Intellectual Property for use within the system. This includes the Marks, Copyrights, Recipes, Trade Secrets, methods, or procedures that are part of the Auntie Annes system.

This right is reserved for Auntie Annes' sole discretion, and the company incurs no liability to the franchisee as a result of these changes. However, Auntie Annes is expected to provide reasonable notice to franchisees before implementing any such changes.

As a franchisee, you are obligated to implement these changes at your own expense and within the timeframe that Auntie Annes reasonably specifies. This could involve costs for new equipment, training, or marketing materials to align with the updated Intellectual Property. While Auntie Annes can make these changes, franchisees benefit from Auntie Anne's agreement to protect and defend them against any third-party claims challenging the validity of the Intellectual Property, provided the franchisee uses the Intellectual Property as intended under the Franchise Agreement.