After termination or expiration of the Basecamp Fitness agreement, can a franchisee represent themselves as a Basecamp Fitness franchisee?
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 the 2025 Basecamp Fitness Franchise Disclosure Document, a franchisee is prohibited from representing themselves as a Basecamp Fitness franchisee after the termination or expiration of their franchise agreement. The agreement explicitly states that the franchisee must immediately cease operating the franchised business and cannot directly or indirectly present themselves to the public as a Basecamp Fitness franchisee.
Furthermore, upon termination or expiration, the franchisee must discontinue all use of confidential information, the approved Information System, related software, methods, procedures, and techniques associated with the Basecamp Fitness system. They are also barred from using the Marks, distinctive forms, slogans, signs, symbols, logos, and devices connected to the system, including any similar names, marks, symbols, logos, or slogans. The franchisee is obligated to allow Basecamp Fitness to remove any signage displaying these Marks, and the franchisee will be responsible for reimbursing any costs incurred by Basecamp Fitness for such removal.
The franchisee is also required to return the Manual and all copies, along with any property owned by Basecamp Fitness. They must cease using and either destroy or transfer to Basecamp Fitness all signs, advertising materials, displays, stationery, forms, and other materials bearing the Marks. Additionally, the franchisee must cancel any assumed name registrations containing the Marks "Basecamp" or "Basecamp Fitness" and discontinue all use of the Marks on Technology Platforms, canceling any platforms they control as directed by Basecamp Fitness. Continued use of the Marks after termination or expiration will be considered an "exceptional case" under federal trademark law, potentially leading to treble damages, costs, and attorneys' fees.
Finally, within ten days of termination or expiration, the franchisee must modify their Basecamp Studio premises to differentiate its appearance from the Basecamp Fitness system, including removing all signage, altering the color scheme and decor, and discontinuing the use of any item containing the Marks. These stringent requirements ensure a clear separation between the former franchisee and the Basecamp Fitness brand, protecting the integrity and reputation of the franchise system.