Does the Bambu franchisee have the right to license the "BAMBŪ® " service mark?

According to Bambu's 2025 Franchise Disclosure Document, the franchisee does not have the right to license the "BAMBŪ® " service mark. Bambu retains the sole right to license and control the use of its service marks. The franchisee's rights are limited to using the marks in the operation of their Bambu shop, as governed by the franchise agreement.

The agreement explicitly states that the franchisee has not acquired any right, title, or interest in the marks beyond the permission to use them for their specific Bambu shop. This means a franchisee cannot sub-license the Bambu trademarks to third parties or use them outside the scope of their franchised business.

Bambu also retains the right to use and license others to use the marks and Bambu system in various ways, including operating Bambu shops at locations outside the franchisee's protected area, using the marks for alternative distribution channels, and establishing drive-thru shops or shops at institutional facilities. This reservation of rights underscores that Bambu maintains ultimate control over its brand and trademarks, even allowing them to license others to operate similar businesses, potentially even within a franchisee's protected area under certain conditions like a right of first refusal for drive-thru locations.

The franchisee is also obligated to inform Bambu of any potential trademark infringements. Bambu has the sole discretion to decide whether to take action against such infringements and may include the franchisee in any legal actions if deemed necessary. This further emphasizes Bambu's control and responsibility for protecting its trademarks, with the franchisee playing a supportive role in reporting potential issues.