Does the Beauty Bungalows Franchise Agreement define the term 'Marks' in relation to the Beauty Bungalows franchise?
Beauty_Bungalows Franchise · 2025 FDDAnswer from 2025 FDD Document
6. MARKS
- 6.01 Marks.
Franchisee must only use the Marks in the conduct of the Business as specified in this Agreement.
Any unauthorized use of the Marks by Franchisee will constitute a breach of this Agreement and an infringement on Franchisor's rights in and to the Marks.
As between Franchisor and Franchisee, Franchisor has a prior and superior claim to the Marks, and Franchisee has no rights in the Marks other than the right to use them in the operation of the Business in compliance with this Agreement.
- 6.02 Authorized Marks.
Franchisee shall use no trademarks other than "Beauty Bungalows" or any other Marks that Franchisor may specify for use in the identification, marketing, promotion, or operation of the Business.
Franchisee is permitted to use the term "Beauty Bungalows" on its marquee signage.
If Franchisee cannot lawfully use the Marks in the Protected Territory, Franchisee must obtain Franchisor's written approval to use other marks.
Franchisee must also follow the copyright guidelines as specified by Franchisor in the Manual and which approval may not be unreasonably withheld, conditioned or delayed.
Franchisor will indemnify Franchisee for any claims against misuse or infringement of Marks.
- 6.03 Change of Marks.
Franchisor may add, modify, or discontinue any Marks to be used under the System.
Source: Item 22 — CONTRACTS (FDD pages 47–48)
What This Means (2025 FDD)
According to the 2025 Beauty Bungalows Franchise Disclosure Document, the term "Marks" is addressed within the context of the franchise agreement. Section 6.01 states that franchisees must only use the Marks as specified in the agreement when conducting business. Unauthorized use of the Marks constitutes a breach of the agreement and an infringement on Beauty Bungalows' rights. The agreement clarifies that Beauty Bungalows has a prior and superior claim to the Marks, and the franchisee's rights are limited to using them in compliance with the agreement.
Section 6.02 further specifies that franchisees shall use no trademarks other than "Beauty Bungalows" or any other Marks that Beauty Bungalows may specify for use in the identification, marketing, promotion, or operation of the Business. Franchisees are permitted to use the term "Beauty Bungalows" on their marquee signage. If a franchisee cannot lawfully use the Marks in the Protected Territory, they must obtain Beauty Bungalows' written approval to use other marks. Franchisees must also follow the copyright guidelines as specified by Beauty Bungalows in the Manual. Beauty Bungalows will indemnify franchisees for any claims against misuse or infringement of Marks.
Section 6.03 states that Beauty Bungalows may add, modify, or discontinue any Marks to be used under the System. This means that Beauty Bungalows retains control over the brand's trademarks and can make changes as it sees fit. For a prospective franchisee, this means they must adhere to Beauty Bungalows' guidelines regarding the use of trademarks and understand that these Marks may change over time. They are also restricted from using any other trademarks without explicit permission from Beauty Bungalows.