What are the restrictions on a former Beehive Homes franchisee's use of the Names and Marks after termination?

According to Beehive Homes' 2025 Franchise Disclosure Document, a franchisee must immediately cease using the Trade Name, Names and Marks upon termination or expiration of the Franchise Agreement. The franchisee must also return or destroy all documents, instructions, displays, and advertising items related to the Names and Marks, Trade Secrets, and Copyrighted Materials, based on Beehive Homes' election.

This means that once the franchise agreement ends, the franchisee loses all rights to operate under the Beehive Homes brand. They cannot use the brand's name, logos, or any other identifying marks in any business activity. This restriction is standard in franchising, as it protects the brand's identity and goodwill.

Beehive Homes also emphasizes that any unauthorized or improper use of the System or the Names and Marks, whether during or after the term of the agreement, will cause irreparable damage to Beehive Homes and is a material breach of the agreement. In such cases, Beehive Homes is entitled to seek injunctive relief from a court of competent jurisdiction, in addition to any other remedies available at law. The franchisee is responsible for covering all costs and expenses, including reasonable attorneys' fees and expert fees, incurred by Beehive Homes in connection with the franchisee's non-compliance. This clause underscores the importance of adhering to the terms of the agreement regarding the use of the brand's intellectual property and operational system.