What is the B Bops Company's responsibility regarding the Franchisee's use of the Licensed Marks?
B_Bops Franchise · 2025 FDDAnswer from 2025 FDD Document
censed Marks.
- USE OF LICENSED MARKS. Franchisee acknowledges and agrees that Franchisee has a duty and that it is in Franchisee's best interest to maintain and enhance the goodwill inherent in the Licensed Marks. Franchisee accordingly agrees that its use of the Licensed Marks shall comply with the policies set forth in the Operations Manual and be limited solely to display in connection with operation of the Franchise on the Franchise Premises. Franchisee agrees not to use, display or imitate the Licensed Marks in connection with any goods or services not authorized for the Licensed System, except with the prior written consent of Company. Franchisee further agrees not to use the words "B-Bop's" as a part of the name of any partnership, corporation or limited liability company through which the Franchise is to be owned or operated. Franchisee shall use no trademark, trade name or service mark in connection with the Franchise other than the Licensed Marks, unless such use is first approved in writing by Company. Franchisee shall, when using the Licensed Marks, comply with all laws pertaining to trade names, trademarks and service marks, including marking all documents and materials showing registration to Company. Company may from time to time add to the Licensed Marks by notifying Franchisee of such additions in writing, and said additions shall, for purposes of this Agreement, be classified as Licensed Marks. Company shall additionally have the right, in its sole discretion, to require Franchisee to discontinue or modify use of any of the Licensed Marks within thirty (30) days of receipt of written notice from Company.
Franchisee agrees to immediately notify Company in writing of the following: (a) any challenge to Franchisee's use of the Licensed Marks; (b) any claim by a third party to rights in any of the Licensed Marks (or confusingly similar marks) that comes to the attention of Franchisee; or (c) any apparent infringement of the Licensed Marks that comes to the attention of Franchisee. Company shall have complete discretion in taking such action as it may deem appropriate upon notification of any such challenge, claim or infringement, and shall have exclusive control over any litigation or other proceeding instituted with respect to the Licensed Marks. Franchisee agrees to cooperate with Company in investigating, prosecuting or defending any action involving any of the Licensed Marks or other trade secrets of Company.
- INSURANCE OBLIGATIONS. Franchisee shall procure and maintain at Franchisee's own expense during the Term of this Agreement insurance coverage for the Franchise as specified by Company from time to time in the Operations Manual. Each policy of insurance shall be issued by an insurance carrier acceptable to Company that is legally authorized to do business in the state in which the Franchise Premises is located and shall name Company and B-Bop's, Inc. as additional insureds. All of such policies shall provide for a minimum of thirty (30) days written notice to Company prior to cancellation, termination, nonrenewal or change of such insurance.
Source: Item 22 — CONTRACTS (FDD page 53)
What This Means (2025 FDD)
According to B Bops's 2025 Franchise Disclosure Document, the franchisee acknowledges their duty to maintain and enhance the goodwill associated with the Licensed Marks. The franchisee's use of these marks must comply with the policies in the Operations Manual and be limited to the operation of the franchise at the designated premises. The franchisee cannot use the B Bops's name as part of their business's legal entity name and must obtain written approval from B Bops before using any other trademark, trade name, or service mark. When using the Licensed Marks, the franchisee must comply with all applicable laws and ensure that all documents and materials indicate registration to B Bops. B Bops retains the right to add to or require the franchisee to discontinue or modify the use of any Licensed Marks with 30 days written notice.
The franchisee is required to notify B Bops immediately of any challenges to their use of the Licensed Marks, any third-party claims to rights in the marks, or any apparent infringement of the marks. B Bops has complete discretion in taking action on such notifications and has exclusive control over any related litigation. The franchisee must cooperate with B Bops in investigating, prosecuting, or defending any action involving the Licensed Marks or other trade secrets.
B Bops will develop and provide advertising, promotional, and public relations campaigns to promote the Licensed System and the Licensed Marks, using funds collected from franchisee advertising fees. All decisions regarding the content and media of these campaigns are at the sole discretion of B Bops. Additionally, B Bops will inform the franchisee of any modifications, additions, or revisions to the Licensed System, the Licensed Marks, or the Operations Manual through updates to the manual or other written materials. These stipulations ensure that the B Bops brand maintains its integrity and uniformity across all franchise locations, while also protecting its trademarks and trade secrets.