Does Bens Soft Pretzels control all litigation if someone challenges the ownership of the Trademarks?
Bens_Soft_Pretzels Franchise · 2025 FDDAnswer from 2025 FDD Document
In the event any person or entity improperly uses or infringes the Trademarks or challenges your use or our use or ownership of the Trademarks, we will control all litigation and we have the right to determine whether suit will be instituted, prosecuted or settled, the terms of settlement and whether any other action will be taken.
You must promptly notify us of any such use or infringement of which you are aware or any challenge or claim arising out of your use of any Trademark.
You must take reasonable steps, without compensation, to assist us with any action we undertake.
We will be responsible for our fees and expenses with any such action, unless the challenge or claim results from your misuse of the Trademarks in violation of this Agreement, in which case you must reimburse us for our fees and expenses.
Source: Item 22 — CONTRACTS (FDD pages 46–47)
What This Means (2025 FDD)
According to Bens Soft Pretzels's 2025 Franchise Disclosure Document, Bens Soft Pretzels maintains control over any litigation involving the Trademarks. If someone improperly uses or infringes upon the Trademarks, or challenges the franchisee's or Bens Soft Pretzels's use or ownership of the Trademarks, Bens Soft Pretzels has the right to control all litigation. This includes the right to decide whether to initiate, prosecute, or settle a lawsuit, and to determine the terms of any settlement.
As a Bens Soft Pretzels franchisee, you must promptly inform Bens Soft Pretzels of any such infringement or challenges that you become aware of. Additionally, you are required to provide reasonable assistance to Bens Soft Pretzels in any legal actions they undertake, without receiving compensation for your time or effort.
Bens Soft Pretzels will cover their own fees and expenses related to such legal actions. However, if the challenge or claim arises due to your misuse of the Trademarks in violation of the Franchise Agreement, you will be responsible for reimbursing Bens Soft Pretzels for all their fees and expenses. This condition highlights the importance of adhering to the guidelines for Trademark usage as outlined in the agreement to avoid potential financial liabilities.