What actions are franchisees prohibited from taking that would disparage the Bambu brand?

According to Bambu's 2025 Franchise Disclosure Document, franchisees are prohibited from taking actions or making statements that would criticize, denigrate, or disparage Bambu, its Bambu system, or that would harm the reputation or goodwill of Bambu or its marks. This also includes actions that may interfere with Bambu's business affairs or relations.

This non-disparagement clause is a common provision in franchise agreements. It protects the franchisor's brand image and reputation, which is crucial for maintaining customer trust and attracting new franchisees. For a prospective Bambu franchisee, this means they must be cautious about expressing negative opinions about the franchise, even in private settings, as such statements could potentially become public and be considered a breach of the agreement.

The franchisee should be aware that any negative comments, whether made online, in person, or through other channels, could have legal ramifications. It is important to maintain a professional and respectful relationship with Bambu and address any concerns through appropriate channels, such as direct communication with the franchisor, rather than public criticism. This clause aims to ensure that franchisees act in a way that supports and enhances the brand rather than undermining it.

Failure to comply with this non-disparagement clause could result in penalties, including potential termination of the franchise agreement. Franchisees should carefully consider the implications of this clause and ensure they are prepared to uphold the brand's reputation throughout the term of their franchise agreement.