Is a Belocal franchisee allowed to operate under trademarks not approved by the Franchisor?
Belocal Franchise · 2025 FDDAnswer from 2025 FDD Document
- (14) Franchisee operates under any trademark not approved by Franchisor or otherwise uses any trademark not approved by Franchisor in the operation of the Franchised Business;
Source: Item 22 — CONTRACTS (FDD page 71)
What This Means (2025 FDD)
According to Belocal's 2025 Franchise Disclosure Document, a franchisee is not allowed to operate under trademarks that have not been approved by Belocal. The franchise agreement specifies that operating under a trademark not approved by Belocal constitutes a breach of contract.
Belocal grants the franchisee a limited license to use its trademarks and copyrighted materials solely for operating, advertising, and promoting the franchised business. The franchisee's interest in these marks is limited to that of a licensee, and all goodwill associated with the use of the marks benefits Belocal. Franchisees cannot use Belocal's trademarks, trade names, or any variations of them as part of their own name or business entity name without written approval from Belocal.
Belocal retains the right to add, change, revise, discontinue, or substitute different marks and copyrighted materials at its discretion. Franchisees are obligated to comply with these changes and bear any associated expenses. This ensures that all Belocal franchises maintain a consistent brand identity and adhere to the franchisor's standards. Franchisees must also notify Belocal immediately of any apparent infringement or challenges to the use of any mark or copyrighted material.