How are Beard Papas franchisees authorized to use the Licensed Marks?
Beard_Papas Franchise · 2025 FDDAnswer from 2025 FDD Document
Under the terms of the Franchise Agreement, you will be granted a license to use the "Beard Papa's" trademark and those other marks that we designate. Our affiliate DAY TO LIFE CO., Ltd. is the owner of the Licensed Marks and has granted to us a license to use the Licensed Marks and to license our franchisees to use the Licensed Marks (the "License Agreement"). We reserve the right to supplement and modify the marks that you may or may not use in connection with the operations of your Shop. You may only use the Licensed Marks as authorized by us in writing and under the terms of your Franchise Agreement. You may not use the Licensed Marks in the name of any Corporate Entity that you establish.
We will protect your right to use the Licensed Marks and other related rights and to protect you against claims of infringement and unfair competition related to the Licensed Marks, provided that you use the Licensed Marks in accordance with the terms of your Franchise Agreement, as designated by us in the Manuals, and otherwise, as we instruct you. We will indemnify you against direct damages for trademark infringement in a proceeding arising out of your use of the Licensed Marks, provided your use of the Licensed Marks comply with the terms of your Franchise Agreement, the Manuals, our written instructions and, that you have timely notified us of the claim, have given us sole control of the defense and settlement of the claim, and you are in compliance with your Franchise Agreement and, if applicable, Multi-Unit Development Agreement. If we defend the claim, we have no obligation to indemnify or reimburse you with respect to any fees or disbursements of any attorney that you retain.
If any third party establishes, to our satisfaction and in our discretion that its rights to the Licensed Marks are, for any legal reason, superior to any of our rights or of a nature that we believe, in our discretion, that it is advisable to discontinue and/or modify the Licensed Marks, then we will modify and/or replace the Licensed Marks and you must use the substitutions, replacements and/or variations of and/or to the Licensed Marks and use the those trademarks, service marks, logos and trade names required and designated by us. In such event, our sole liability and obligation will be to reimburse you for the direct out-of-pocket costs of complying with this obligation, which you must document to our satisfaction, including, by way of example, alterations in signage and replacement of marketing materials.
Source: Item 13 — TRADEMARKS (FDD pages 40–42)
What This Means (2025 FDD)
According to Beard Papas's 2025 Franchise Disclosure Document, franchisees are granted a license to use the "Beard Papa's" trademark and other designated marks under the terms of the Franchise Agreement. This license is granted by DAY TO LIFE CO., Ltd., the owner of the Licensed Marks, who has licensed Beard Papas to sublicense these marks to its franchisees. However, Beard Papas retains the right to modify or supplement these marks. Franchisees are only permitted to use the Licensed Marks as explicitly authorized in writing by Beard Papas and according to the Franchise Agreement. The marks cannot be used in the name of any corporate entity established by the franchisee.
Beard Papas will protect the franchisee's right to use the Licensed Marks against infringement claims, provided the franchisee uses the marks according to the Franchise Agreement, manuals, and written instructions. Franchisees must notify Beard Papas of any claims regarding the Licensed Marks. Beard Papas has the sole discretion to take action on infringement claims and controls any related legal proceedings. Franchisees are required to sign documents and undertake actions necessary to protect Beard Papas's interests in the Licensed Marks.
If a third party establishes superior rights to the Licensed Marks, Beard Papas may modify or replace the marks, and franchisees must use the new marks designated by Beard Papas. In such cases, Beard Papas's sole obligation is to reimburse the franchisee for direct out-of-pocket costs of complying with the changes, such as alterations in signage and replacement of marketing materials, provided these costs are documented to Beard Papas's satisfaction. This arrangement ensures that Beard Papas maintains control over its brand identity while providing some financial protection to franchisees in the event of necessary changes due to legal challenges.