Are the Owners of the Aw franchise also bound by the restrictions on using the Marks after termination?
Aw Franchise · 2025 FDDAnswer from 2025 FDD Document
s after the effective date of termination or expiration (without renewal) of this Agreement such royalty fees, marketing fund contributions, service charges due us on any of the foregoing and all other amounts owed to us and our affiliates which are then unpaid. You must furnish a complete accounting of all such amounts owed to us and our affiliates with the payment.
- 16.2 The Marks. You (and your Owners) agree that after the termination or expiration (without renewal) of this Agreement you will:
- (a) not directly or indirectly at any time or in any manner identify yourself or any business as a current or former Papa Ray's Pizza Restaurant, or as a franchisee or licensee of or as otherwise associated with us, or use the Marks, any colorable imitation thereof or other indicia of a Papa Ray's Pizza Restaurant in any manner or for any purpose, or utilize for any purpose any trade name, trademark, service mark, trade dress, domain name, or other commercial symbol that suggests or indicates a connection or association with us;
- (b) promptly return to us or destroy (whichever we specify) all signs, sign-faces, promotional and advertising materials and other materials containing the Marks or otherwise identifying or relating to a Papa Ray's Pizza Restaurant;
- (c) promptly take such action as may be required to cancel all fictitious or assumed name, "doing business as" or equivalent registrations relating to your use of the Marks;
Source: Item 22 — CONTRACTS (FDD pages 39–40)
What This Means (2025 FDD)
According to Aw's 2025 Franchise Disclosure Document, the restrictions on using the Marks after the termination or expiration of the Franchise Agreement apply not only to the franchisee but also to the franchisee's Owners. This means that after the agreement ends, neither the franchisee nor their Owners can identify themselves or any business as a current or former Papa Ray's Pizza Restaurant or use the Marks in any way.
Specifically, the franchisee and their Owners are prohibited from using the Marks, any imitation of them, or any other symbols associated with Papa Ray's Pizza. They must also return or destroy all materials containing the Marks, cancel any registrations related to the Marks, and notify the phone company and listing agencies about the termination of their right to use phone numbers and listings associated with the Marks.
This provision is designed to protect Aw's brand identity and prevent confusion among customers after a franchise agreement ends. It ensures that former franchisees and their Owners do not continue to benefit from the goodwill associated with the Papa Ray's Pizza brand without authorization. A prospective Aw franchisee should carefully consider these post-termination obligations, as they extend to the Owners of the franchise as well, and ensure they understand the full scope of these restrictions.