What must a franchisee do with the Manual and other property owned by Basecamp Fitness upon termination of the Basecamp Fitness franchise agreement?
Basecamp_Fitness Franchise · 2025 FDDAnswer from 2025 FDD Document
- A. You will immediately cease to operate the business franchised under this Agreement, and will not thereafter, directly or indirectly, represent to the public or hold yourself out as a Basecamp Fitness franchisee with respect to such business.
- B. You will immediately and permanently cease to use, in any manner whatsoever, all confidential information, approved Information System and related software, methods, procedures and techniques used by or associated with the System, and the Marks and distinctive forms, slogans, signs, symbols, logos and devices associated with the System, as well as any name, mark, symbol, logo or slogan similar to any of the Marks. You will also specifically authorize us to physically remove any signage bearing any of the Marks that you may fail to remove. Further, if we elect to remove such signage, you will, upon demand, reimburse us for any costs we incur in doing so.
- C. You will immediately return to us the Manual, all copies or excerpts thereof, and any property held or used by you that is owned by us and will cease to use, and either destroy or convey to us, all signs, advertising materials, displays, stationery, forms and any other materials that bear or display the Marks.
- D. Subject to Section 16.H below, you will take such actions as may be necessary to cancel any assumed name or similar registration that contains the Marks "Basecamp" or "Basecamp Fitness" or any other Mark, and will immediately and permanently refrain from and cease all use of the Marks on or in any Technology Platforms and cancel any Technology Platform you control as we direct. You agree and acknowledge that your continued use of the Marks after the expiration or termination of this Agreement will be without our consent and will constitute an "exceptional case" under federal trademark law (15 U.S.C. § 1117) entitling us to recover treble damages, costs and attorneys' fees.
- E. You will, within ten (10) days after termination or expiration of this Agreement, make such modifications and alterations to your Basecamp Studio premises as may be necessary to distinguish the appearance of the premises from all attributes of the System and will make such specific additional changes thereto as we may request. You agree that, at a minimum, such modifications will include: (i) removal of all signage; (ii) alteration of the color scheme and decor; and (iii) discontinuation of the use of any item containing any of the Marks.
Source: Item 22 — CONTRACTS (FDD pages 61–62)
What This Means (2025 FDD)
According to Basecamp Fitness's 2025 Franchise Disclosure Document, upon termination of the franchise agreement, a franchisee has several obligations regarding the use and return of Basecamp Fitness's proprietary materials. The franchisee must immediately cease operating the Basecamp Fitness business and cannot represent themselves as a franchisee. They must also stop using all confidential information, the approved Information System, related software, methods, procedures, techniques, and the Marks associated with the Basecamp Fitness system. This includes refraining from using any similar names, marks, symbols, logos, or slogans.
Specifically, the franchisee is required to return the Manual, all copies and excerpts of it, and any other property owned by Basecamp Fitness. Additionally, the franchisee must stop using and either destroy or hand over to Basecamp Fitness all signs, advertising materials, displays, stationery, forms, and any other materials that bear the Basecamp Fitness Marks.
Furthermore, the franchisee must take necessary actions to cancel any assumed name or similar registration that contains the Marks "Basecamp" or "Basecamp Fitness." They must also permanently stop using the Marks on any Technology Platforms and cancel any Technology Platform they control as directed by Basecamp Fitness. Continued use of the Marks after termination will be considered an "exceptional case" under federal trademark law, potentially leading to treble damages, costs, and attorneys' fees for the franchisee. The franchisee must also modify the Basecamp Studio premises to distinguish it from the Basecamp Fitness system, including removing signage, altering the color scheme and decor, and discontinuing the use of any item containing the Marks.