What is the Aw franchisee's obligation regarding notifying Aw of any challenge to any Mark?
Aw Franchise · 2025 FDDAnswer from 2025 FDD Document
You must notify us immediately in writing of any apparent infringement of or challenge to your use of any Mark, or any claim by any person of any rights in any Mark or any similar mark and you may not communicate with any person other than us or our attorneys and your attorneys regarding the infringement, challenge or claim. We have sole discretion to take any action we deem appropriate and the right to exclusively control any litigation, PTO proceeding, ICANN Uniform Domain Name Dispute Resolution Policy proceeding or other administrative proceeding arising out of any infringement, challenge or claim to otherwise relating to any Mark. You must sign all instruments and documents, provide assistance and take any action that, in the opinion of our attorneys, may be necessary or advisable to protect and maintain our interest in any litigation, PTO proceeding, ICANN Uniform Domain Name Dispute Resolution Policy proceeding or other administrative proceeding or to otherwise protect and maintain our interest in the Marks.
Source: Item 13 — TRADEMARKS (FDD pages 30–32)
What This Means (2025 FDD)
According to Aw's 2025 Franchise Disclosure Document, franchisees have a strict obligation to notify Aw immediately and in writing of any potential infringement or challenge to the use of any Mark. This includes any claim by any person of rights in any Mark or similar mark. The franchisee is also restricted from communicating with anyone other than Aw, their attorneys, or Aw's attorneys regarding any infringement, challenge, or claim. This ensures that Aw maintains control over its trademarks and any legal proceedings related to them.
Aw retains sole discretion to take any action it deems appropriate regarding any infringement, challenge, or claim to otherwise relating to any Mark. Aw also has the right to exclusively control any litigation, PTO proceeding, ICANN Uniform Domain Name Dispute Resolution Policy proceeding or other administrative proceeding arising out of any infringement, challenge or claim to otherwise relating to any Mark. Franchisees must sign all instruments and documents, provide assistance, and take any action that Aw's attorneys deem necessary to protect Aw's interest in any litigation, PTO proceeding, ICANN Uniform Domain Name Dispute Resolution Policy proceeding, or other administrative proceeding, or to otherwise protect and maintain Aw's interest in the Marks.
This requirement is typical in franchising, as franchisors need to protect their brand identity and trademarks. By mandating immediate notification and control over legal proceedings, Aw aims to ensure consistent and effective management of its intellectual property. The franchisee's role is primarily to inform Aw of any potential issues and to cooperate fully in any resulting legal actions, under the direction of Aw and its legal counsel. This protects the Aw brand and trademarks.
It is important for prospective Aw franchisees to understand that they cannot independently address any trademark challenges or claims. Instead, they must rely on Aw to take appropriate action. This arrangement centralizes control and expertise with the franchisor, but it also means that franchisees have limited autonomy in these matters. Franchisees should be aware of this obligation and be prepared to act promptly and cooperatively should any trademark issues arise.