What is included in the 'symbolic intellectual property' granted to a Bambu franchisee?
Bambu Franchise · 2025 FDDAnswer from 2025 FDD Document
1. PURPOSE
- 1.1 Bambu has developed methods for establishing, operating and promoting fast casual beverage businesses featuring freshly made Vietnamese dessert drinks (Chè), Vietnamese style coffee drinks (Cà Phê), Vietnamese style blended yogurts (Yonami), Asian-inspired teas (including Taiwanese bubble tea), and real fruit smoothies (Sinh Tố), with freshly made tapioca boba, house-prepared proprietary ingredients, and a wide-variety of drink toppings, along with mochi waffles and other complementary snack, food and dessert items ("Bambū shoppes" or "shoppes") which use the mark "BAMBŪ® " and related service marks, trade names and trademarks ("Marks") and Bambu's proprietary methods of doing business ("Bambū system").
- 1.2 Bambu grants the right to others to develop and operate Bambū shoppes under the Marks and pursuant to the Bambū system.
- 1.3 Franchisee desires to establish a Bambū shoppe at a location identified herein or to be later identified, and Bambu desires to grant Franchisee the right to operate a Bambū shoppe at such location under the terms and conditions which are contained in this Agreement.
2. GRANT OF FRANCHISE
- e. to use and license others to use the Marks and Bambū system to establish shoppes at Institutional Facilities at any location. "Institutional Facilities" means outlets that serve primarily customers located within a captive facility, such as parks charging admission, stadiums, amusement parks, theaters, art centers, airports, transportation facilities, department stores, business and industrial complexes, museums, educational facilities, hospitals, military complexes, buyer club facilities, casinos, resorts, hotels, and convention centers. Bambu, on behalf of itself, its affiliates and designees, reserves the right to contract with Institutional Facilities to develop and operate shoppes within these facilities; and
- f. to engage in any other activities not expressly prohibited under the terms of this Agreement, including but not limited to, operating or granting any third party a right to operate any shoppe that Bambu or its designees have acquired as a result of a purchase right that Bambu may have by separate agreement at any location.
If Bambu shall make any Alterations to the Marks or Bambū system, Franchisee shall, within a reasonable time after receipt of written notice of such Alteration from Bambu, take such action, at Franchisee's sole expense, as may be necessary to comply with such required Alteration.
Franchisee shall not unilaterally change, alter or modify the Marks or Bambū system in any way without Bambu's prior written consent which may be withheld in Bambu's sole discretion.
Franchisee's approved changes or improvements to the Bambū system or the Marks shall inure to the exclusive benefit of Bambu.
- 15.7 Creative Ownership.
All copyrightable or patentable works, and all discoveries, developments, designs, improvements, inventions or other information of a proprietary nature created by Franchisee or any of its owners, officers or employees in connection with the shoppe, including but not limited to any enhancements or improvements in the Bambū system, shall be the sole property of Bambu.
Franchisee shall assign, or cause its owner, officer or employee to assign, all proprietary rights, including copyrights, in these works to Bambu without additional consideration.
Franchisee hereby assigns and will execute (or will cause its owner, officer or employee to assign and execute) such additional assignments or documentation to effectuate the assignment of all intellectual property, inventions, drink and food item preparation information, recipes, copyrights, trademarks and trade secrets developed in part or in whole in relation to the shoppe, during the term of this Agreement, as Bambu may deem necessary in order to enable it, at its expense, to apply for, prosecute and obtain copyrights, patents, trademarks or other proprietary rights in the United States and in foreign countries or in order to transfer to Bambu all right, title, and interest in said property.
Franchisee shall promptly disclose to Bambu all inventions, drink and food item preparation information, recipes, discoveries, improvements, creations, patents, copyrights, trademarks and confidential information relating to the shoppes and the Bambū system which it or any of its owners, officers or employees has made or may make solely, jointly or commonly with others and shall promptly create a written record of the same.
Source: Item 23 — Receipts (FDD pages 52–209)
What This Means (2025 FDD)
Based on the 2025 Franchise Disclosure Document, Bambu grants franchisees the right to develop and operate a Bambu shoppe using Bambu's marks and system. This includes the use of the "BAMBŪ® " mark, related service marks, trade names, and trademarks, as well as Bambu's proprietary methods for running the business. The grant allows the franchisee to establish a Bambu shoppe at an approved location.
However, Bambu retains several rights. They can use the marks to identify any type of products and services, promotional and marketing efforts or related items, and to identify products and services distributed or otherwise made available through alternative channels of distribution (other than Bambū shoppes). This includes sales through wholesale, retail, internet marketing, social media, mail order, catalog, retail store display, or pre-packaged product sales in grocery stores. Bambu also reserves the right to use and license others to use the Marks and Bambū system to establish shoppes at Institutional Facilities.
Franchisees must adhere to any alterations Bambu makes to the Marks or Bambū system, at their own expense. They cannot unilaterally change or modify the Marks or Bambū system without Bambu's prior written consent. Any approved changes or improvements made by the franchisee to the Bambū system or the Marks become the exclusive property of Bambu. This includes all copyrightable or patentable works, discoveries, developments, designs, improvements, inventions, or other proprietary information created in connection with the shoppe. Franchisees are required to assign all proprietary rights, including copyrights, to Bambu without additional compensation and must disclose any related inventions, recipes, or confidential information.