Can an Aw franchisee use the Marks in application for any license or permit?
Aw Franchise · 2025 FDDAnswer from 2025 FDD Document
- 7.2 Limitations On Your Use of Marks. You agree to use the Marks as the sole identification of your Papa Ray's Pizza Restaurant, except that you must display at your Papa Ray's Pizza Restaurant, in a form we prescribe, notices identifying yourself as the independent owner of your Papa Ray's Pizza Restaurant pursuant to a Franchise Agreement with us. You may not use or register any Mark as part of any corporate or trade name or with any prefix, suffix or other modifying words, terms, designs or symbols (other than logos and additional trademarks and service marks licensed to you under this Agreement), or in any modified form. You may not apply to register or register any Mark in any forum. You may not use any Mark in connection with the sale of any unauthorized product or service or in any other manner we have not expressly authorized in writing. You agree to display the Marks prominently and in the manner we prescribe in operating your Papa Ray's Pizza Restaurant, including signs and forms, and in connection with advertising and promotional materials. You also agree to use only notices of trademark or service mark registrations and copyrights as we specify and to obtain any fictitious or assumed name or "doing business as" registrations that are required under applicable law.
Source: Item 22 — CONTRACTS (FDD pages 39–40)
What This Means (2025 FDD)
According to Aw's 2025 Franchise Disclosure Document, franchisees are generally prohibited from registering or using the Marks in various contexts. Specifically, franchisees cannot apply to register or register any Mark in any forum. They are also restricted from using any Mark as part of a corporate or trade name, or with any modifying words, terms, designs, or symbols, unless expressly licensed by Aw.
This means an Aw franchisee cannot use the Marks when applying for licenses or permits, as this would constitute an unauthorized use and potential registration of the Marks. The franchisee's use of the Marks is strictly limited to operating their Papa Ray's Pizza Restaurant in compliance with the franchise agreement. Any deviation from this could be seen as an infringement on Aw's rights to the Marks.
The franchise agreement specifies that Aw owns the Marks, and the franchisee's right to use them is solely derived from the franchise agreement. All goodwill associated with the use of the Marks by the franchisee inures to the benefit of Aw. This underscores that the franchisee's use of the Marks is a licensed privilege, not an ownership right. Franchisees must also obtain any fictitious or assumed name or "doing business as" registrations that are required under applicable law.
These restrictions are typical in franchising, as franchisors need to protect their brand identity and ensure consistent use of their trademarks. Prospective Aw franchisees should carefully review the franchise agreement and operations manual to fully understand the permitted uses of the Marks and avoid any actions that could be considered infringement.