Who bears the expense if Bambu requires a franchisee to modify or discontinue use of the marks?
Bambu Franchise · 2025 FDDAnswer from 2025 FDD Document
You must modify or discontinue your use of the Marks if we require modification or discontinuance, at your own expense.
Source: Item 13 — (FDD pages 40–42)
What This Means (2025 FDD)
According to Bambu's 2025 Franchise Disclosure Document, the franchisee is responsible for the expenses incurred if Bambu requires them to modify or discontinue the use of the marks. This includes any costs associated with changing signage, marketing materials, or other branded items.
This stipulation places a financial burden on the franchisee, as they must bear the costs of rebranding or making changes to comply with Bambu's requirements. This could arise from a variety of reasons, such as a trademark dispute or a change in Bambu's branding strategy. Franchisees should be aware of this potential expense and factor it into their financial planning.
While Bambu pays the costs associated with litigation they commence or defend on behalf of the franchisee to protect the marks, the franchisee is responsible for the costs of modifying or discontinuing the use of the marks if Bambu requires it. This division of responsibility highlights the importance of franchisees understanding the terms of the franchise agreement and the potential costs associated with complying with Bambu's directives.