What is the B Bops company's intention regarding protecting the Licensed Marks against infringement?
B_Bops Franchise · 2025 FDDAnswer from 2025 FDD Document
Unauthorized Use and Protection of Franchisee. You are obligated under the Franchise Agreement to immediately notify the Company in writing of any of the following: (i) any challenge to your use of the Licensed Marks; (ii) any claim by a third party to rights in any of the
Licensed Marks (or confusingly similar marks) that comes to your attention; and (iii) any apparent infringement of the Licensed Marks that comes to your attention. The Company has absolute discretion in taking such action as it may deem appropriate upon notification of any such challenge, claim or infringement. You are required to cooperate with the Company and its affiliates in investigating, prosecuting or defending any action involving any of the Licensed Marks, but at the sole expense of the Company. Although not expressly obligated by the Franchise Agreement, the Company considers the Licensed Marks to be valuable property rights and intends to protect them against infringement by others. The Franchise Agreement obligates the Company to indemnify you against claims of infringement or unfair competition with respect to your use of the Licensed Marks, provided that you have complied with the material terms and conditions of the Franchise Agreement in using the Licensed Marks. The Company will have exclusive control over any administrative proceeding or litigation initiated in connection with any of the Licensed Marks. In the event the Franchise Agreement is terminated for any reason whatsoever or expires without renewal, the Company has the right to prohibit you from further use or display of the Licensed Marks.
Infringing Uses.
Source: Item 13 — TRADEMARKS (FDD pages 35–37)
What This Means (2025 FDD)
According to B Bops's 2025 Franchise Disclosure Document, B Bops considers its Licensed Marks to be valuable property rights and intends to protect them against infringement by others, although the Franchise Agreement does not expressly obligate them to do so. Franchisees are obligated under the Franchise Agreement to immediately notify B Bops in writing of any challenge to their use of the Licensed Marks, any claim by a third party to rights in any of the Licensed Marks (or confusingly similar marks), and any apparent infringement of the Licensed Marks that comes to their attention. Upon notification of any such challenge, claim, or infringement, B Bops has absolute discretion in taking action as it deems appropriate. Franchisees are required to cooperate with B Bops and its affiliates in investigating, prosecuting, or defending any action involving any of the Licensed Marks, but at the sole expense of B Bops. B Bops will have exclusive control over any administrative proceeding or litigation initiated in connection with any of the Licensed Marks.
B Bops also states that there are no superior prior rights or infringing uses actually known to the Company or its affiliates that could materially affect a franchisee's use of the Licensed Marks in any state. The Franchise Agreement obligates B Bops to indemnify franchisees against claims of infringement or unfair competition with respect to their use of the Licensed Marks, provided that they have complied with the material terms and conditions of the Franchise Agreement in using the Licensed Marks.
These clauses are typical in franchise agreements, as franchisors need to protect their brand identity while also supporting their franchisees' operations. The obligation for franchisees to report potential infringements is a standard requirement, ensuring that the franchisor is aware of any issues that could affect the brand. The fact that B Bops bears the expense of legal action related to trademark protection is a benefit to the franchisee, as legal battles can be costly. The indemnification clause provides further protection for franchisees, shielding them from liability in case of infringement claims, assuming they follow the franchise agreement terms.