factual

What is the Aw franchisee's responsibility if Aw decides it is advisable to use one or more additional or substitute trademarks?

Aw Franchise · 2025 FDD

Answer from 2025 FDD Document

If it becomes advisable at any time, in our sole discretion, for us and/or you to modify or discontinue use of any Mark and/or use one or more additional or substitute trademarks or service marks, you must comply with our directions within a reasonable time after receiving notice from us at your expense.

Source: Item 13 — TRADEMARKS (FDD pages 30–32)

What This Means (2025 FDD)

According to Aw's 2025 Franchise Disclosure Document, if Aw decides it is advisable to modify or discontinue a trademark, or use additional or substitute trademarks, the franchisee must comply with Aw's directions. This compliance must occur within a reasonable time frame after the franchisee receives notice from Aw. The franchisee is responsible for bearing the expenses associated with these changes.

This requirement means that a prospective Aw franchisee needs to be prepared for potential rebranding or changes to the marks they use to identify their Papa Ray's Pizza Restaurant. These changes could be triggered by various factors, such as legal challenges, marketing strategy shifts, or evolving consumer preferences. The franchisee does not have control over these decisions, as Aw retains sole discretion.

The financial implication is that the franchisee will have to cover the costs associated with implementing these changes. These costs could include new signage, marketing materials, and other items bearing the updated or substitute trademarks. Therefore, franchisees should consider the potential for these expenses when evaluating the overall cost of investment and ongoing operational costs. It would be prudent for a prospective franchisee to inquire about the likelihood and potential costs of such changes during their due diligence.

While it is standard practice for franchisors to retain control over their trademarks and brand identity, the financial burden placed solely on the franchisee for modifications or substitutions should be carefully considered. Franchisees might want to discuss with Aw what constitutes a 'reasonable time' to implement changes and explore options for mitigating potential costs, such as phased implementation or financial assistance.

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.