What is a B Bops franchisee prohibited from doing with the Licensed System after termination?
B_Bops Franchise · 2025 FDDAnswer from 2025 FDD Document
ON OR EXPIRATION. Upon termination of this Agreement, or upon expiration of the Term of this Agreement without renewal, Franchisee agrees as follows:
- A. Franchisee shall no longer be entitled to operate a B-Bop's Restaurant on the Franchise Premises or at any other location, nor in any other manner at any location whatsoever utilize all or any portion of the Licensed System (including, but not limited to, the proprietary recipes) or any of the Licensed Marks, provided that termination or expiration of this Agreement shall not affect the right of Franchisee to operate any other B-Bop's Restaurant in accordance with the terms of a franchise agreement between the parties;
- B. Franchisee shall cease to hold itself out to the public as being a B-Bop's Restaurant and shall avoid any other conduct which would suggest or indicate any relationship between Company and Franchisee, except to the extent permitted by paragraph A above;
- C. Franchisee shall pay Company or its affiliates on demand all fees and
amounts then owing to Company or its affiliates under the terms of this Agreement and any other amounts owing to Company or its affiliates under any other agreement relating to the Franchise;
- D. Franchisee shall immediately discontinue all use and display of the Licensed Marks and shall remove from the Franchise Premises any and all signs, emblems, fixtures, furniture, supplies, promotional materials, stationery, printed forms or other materials which display any of the Licensed Marks or feature any of the distinguishing characteristics of the Licensed System;
- E.
Source: Item 22 — CONTRACTS (FDD page 53)
What This Means (2025 FDD)
According to B Bops's 2025 Franchise Disclosure Document, upon termination of the franchise agreement, a franchisee is restricted from utilizing any portion of the Licensed System. This includes the proprietary recipes, or any of the Licensed Marks. However, this restriction does not affect the franchisee's right to operate any other B Bops Restaurant if they have another franchise agreement with the company.
Furthermore, the franchisee must cease presenting themselves to the public as a B Bops Restaurant and avoid any conduct suggesting a relationship with B Bops, unless permitted by an existing franchise agreement. The franchisee is also obligated to discontinue all use and display of the Licensed Marks and remove any materials displaying these marks from the premises.
Additionally, the franchisee must modify the exterior and interior of the franchise premises at their own expense to differentiate it from its former appearance and from other B Bops Restaurants. This includes discontinuing the use of the unique blue color scheme that is characteristic of the B Bops system. These post-termination obligations are typical in franchising to protect the brand's identity and prevent confusion among customers.