What must a Bang Cookies franchisee do with any Improvement developed by them?
Bang_Cookies Franchise · 2024 FDDAnswer from 2024 FDD Document
Franchisee agrees that with regard to the Franchised Business all customer lists and their contents and information represent Confidential Information and constitute an asset of Franchisor whether or not such information was supplied by Franchisor. During the Term of this Agreement and in connection with the development, establishment, marketing, promotion and operation of the Franchised Business, Franchisee shall disclose to Franchisor all of Franchisee's ideas, concepts, methods and products conceived or developed by Franchisee and Franchisee's affiliates, Owners, agents, and employees relating to the development and operation of Bang Cookies Shops. Franchisee hereby assigns to Franchisor and Franchisee agrees to procure from Franchisee's Owners, affiliates and employees assignment of any such ideas, concepts, methods, and products that Franchisee is required to disclose to Franchisor under this Article 6.I. Franchisor shall have no obligation to make any lump sum or on-going payments to Franchisee or Franchisee's Owners, affiliates or employees with respect to any such idea, concept, method, technique or product. Franchisee agrees that Franchisee will not use nor will Franchisee allow any other person or entity to use any such concept, method or product without obtaining Franchisor's prior written approval.
Source: Item 23 — RECEIPTS (FDD pages 56–245)
What This Means (2024 FDD)
According to Bang Cookies' 2024 Franchise Disclosure Document, if a franchisee develops any ideas, concepts, methods, or products related to the development and operation of Bang Cookies shops, they must disclose these to Bang Cookies. This includes ideas developed by the franchisee, their owners, affiliates, agents, and employees.
Furthermore, the franchisee must assign the rights to these innovations to Bang Cookies, ensuring that Bang Cookies owns the intellectual property. This assignment also extends to securing the rights from the franchisee's owners, affiliates, and employees. Bang Cookies is not obligated to provide any payment or compensation for these assigned innovations.
The franchisee is prohibited from using or allowing others to use any such concept, method, or product without obtaining Bang Cookies' prior written approval. This ensures that all innovations remain under the control and ownership of the franchisor, Bang Cookies, and cannot be exploited by the franchisee without explicit permission.