What is the franchisee obligated to do regarding advertising after the Bath Tune Up agreement is terminated?
Bath_Tune_Up Franchise · 2025 FDDAnswer from 2025 FDD Document
On the expiration or sooner termination of this Agreement, Franchisor may, if Franchisee does not do so, sign in Franchisee's name and on Franchisee's behalf any and all documents necessary, in Franchisor's judgment, to end and cause a discontinuance of the use by Franchisee of the Marks and fictitious business name registrations and Franchisor is hereby irrevocably appointed and designated as Franchisee's attorney-in-fact to do so.
Source: Item 22 — CONTRACTS (FDD page 52)
What This Means (2025 FDD)
According to the 2025 Bath Tune Up Franchise Disclosure Document, upon the expiration or termination of the franchise agreement, Bath Tune Up may sign documents on the franchisee's behalf to discontinue the use of Bath Tune Up's marks and fictitious business name registrations if the franchisee does not do so themselves. This grants Bath Tune Up the power to ensure that the franchisee ceases using their brand and associated intellectual property after the agreement ends.
This is a fairly standard clause in franchise agreements. It protects Bath Tune Up's brand identity and prevents former franchisees from trading on Bath Tune Up's reputation after their franchise agreement concludes. The appointment of Bath Tune Up as the franchisee's attorney-in-fact is a legal mechanism to streamline this process and ensure compliance.
For a prospective Bath Tune Up franchisee, this means that you must be prepared to completely rebrand your business if you choose not to renew your franchise agreement or if it is terminated. You will need to remove all Bath Tune Up signage, marketing materials, and any other references to the brand. Failure to do so could result in Bath Tune Up taking legal action to enforce this provision.