Under the Azal Coffee franchise agreement, what is the meaning of 'Franchise Marks'?
Azal_Coffee Franchise · 2024 FDDAnswer from 2024 FDD Document
TRADEMARKS**
Principal Trademarks
You receive the right to operate your Store under the name Azal Coffee, which are the primary Franchise Marks used to identify our Franchise System. You may also use any other current or future Franchise Marks to operate your Store that we designate, including the logo on the front of this Disclosure Document and the service marks listed below. By "Franchise Marks," we mean any trade name, trademark, service mark, or logo used to identify your business.
The following is a description of the Franchise Marks we will license to you. The following table discloses the Franchise Marks that are either registered or pending on the U.S. Patent and Trademark Office ("USPTO") Principal Register and the Franchise Marks for which we have filed applications for registration on the Principal Register.
| Mark | Registration Number | Application Number | Principal or Supplemental Register of the USPTO | Registration Date | Application Date |
|---|---|---|---|---|---|
| Azal Coffee™ | 98,011,122 | Principal | 05/24/2023 | ||
| ™ | 98,011,157 | Principal | 05/24/2023 |
We do not have a federal registration for the principal trademarks listed in the table above. Therefore, the trademarks do not have as many legal benefits and rights as a federally registered trademark. If our right to use the trademarks is challenged, you may have to change to an alternative trademark, which may increase your expenses.
Source: Item 13 — TRADEMARKS (FDD pages 38–39)
What This Means (2024 FDD)
According to Azal Coffee's 2024 Franchise Disclosure Document, "Franchise Marks" encompass any trade name, trademark, service mark, or logo utilized to identify the Azal Coffee business. The primary Franchise Marks are the words "Azal Coffee" themselves, under which franchisees receive the right to operate their stores. Franchisees may also use other Franchise Marks designated by Azal Coffee, including the logo displayed in the FDD.
Azal Coffee has filed an application for registration of the trademark "Azal Coffee™" with the U.S. Patent and Trademark Office (USPTO), with the application number 98,011,122 and an application date of May 24, 2023. They have also filed an application for the trademark "™", application number 98,011,157, also filed on May 24, 2023. However, Azal Coffee does not currently have a federal registration for its principal trademarks, which means the trademarks do not have as many legal benefits and rights as a federally registered trademark. If the right to use the trademarks is challenged, franchisees may have to change to an alternative trademark, which may increase their expenses.
Azal Coffee retains the discretion to modify or discontinue any Franchise Mark, and franchisees must adhere to these changes at their own expense. Franchisees do not have the right to continue using a Franchise Mark after Azal Coffee has made modifications or changes. Franchisees are obligated to promptly notify Azal Coffee of any claims or suits against them related to the use of the Franchise Marks, or if they become aware of any unauthorized use of similar marks by third parties. Azal Coffee will determine, in its sole discretion, whether to take action against any third party for alleged infringement of the Franchise Marks.