After termination of the B Bops franchise agreement, what are the franchisee's obligations regarding holding themselves out to the public?
B_Bops Franchise · 2025 FDDAnswer from 2025 FDD Document
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;
Source: Item 22 — CONTRACTS (FDD page 53)
What This Means (2025 FDD)
According to the 2025 B Bops Franchise Disclosure Document, after the termination or expiration of the franchise agreement, a franchisee must cease presenting themselves to the public as a B Bops restaurant. The franchisee must also avoid any conduct that might suggest a relationship between B Bops and the franchisee. However, this is with the exception of operating another B Bops restaurant under a separate, active franchise agreement.
This obligation ensures that the public is not misled into believing that a former franchise location is still part of the B Bops system, which could damage the brand's reputation if the location no longer adheres to B Bops's standards. It also protects B Bops from potential liability associated with the operations of a business no longer under its control.
In addition to ceasing to represent themselves as a B Bops restaurant, the franchisee must also discontinue all use and display of B Bops's licensed marks and remove all signs, emblems, fixtures, furniture, supplies, promotional materials, and stationery that display the licensed marks or feature any of the distinguishing characteristics of the B Bops system from the premises. The franchisee is also responsible for making modifications to the exterior and interior of the franchise premises to effectively distinguish it from its former appearance and from the appearance of any other B Bops restaurant, including discontinuing the use of the unique blue color scheme.