Can Best Brains operate businesses under different trademarks anywhere?
Best_Brains Franchise · 2025 FDDAnswer from 2025 FDD Document
- D. The franchise is for the operation of one Franchised Business to be located at a site to be approved by both you and us within the state specified in your Franchise Agreement. You will not receive an exclusive territory. You may face competition from other franchisees, from outlets that we own, or from other channels of distribution or competitive brands that we control. We may franchise or operate anywhere any other learning center using the same Marks as licensed to you in your franchise agreement. We are allowed to operate and franchise anywhere any business under trademarks different from the Marks licensed to you in your franchise agreement and are allowed to conduct anywhere any business using the Marks or System on the Internet or by any other alternate channel of distribution. You do not receive any options, rights of first refusal or similar rights to acquire additional franchises.
We have used and reserve the right to use other channels of distribution, such as the Internet, or by mail order, or catalog sales or offerings at school, to make sales anywhere using the franchisor's principal trademarks. We have used and reserve the right to use other channels of distribution, such as by the Internet or by mail order or catalog to make sales anywhere of products or services under trademarks different from the ones the franchisees will use under the franchise agreement. There is no compensation that we must pay for soliciting or accepting orders from near your location.
You must focus your marketing efforts on promoting and enhancing the Franchised Business. You are prohibited from selling products or services by the Internet or by mail order or catalog, unless we first provide written approval. You may accept orders from anywhere. You do not have the right to use other channels of distribution, such as by the Internet or by mail order or catalog to make sales.
Source: Item 23 — RECEIPTS (FDD pages 42–190)
What This Means (2025 FDD)
According to the 2025 Best Brains FDD, Best Brains has the right to operate and franchise businesses under different trademarks from the ones licensed to franchisees in their franchise agreements. They are also allowed to conduct any business using the Marks or System on the Internet or by any other alternate channel of distribution, without restriction to location. This means that a Best Brains franchisee could face competition from businesses operated or franchised by Best Brains itself under different brands.
This could impact a franchisee's business if Best Brains introduces a competing brand in the same market. The franchisee will not receive an exclusive territory and may face competition from other franchisees, from outlets that Best Brains owns, or from other channels of distribution or competitive brands that Best Brains controls.
Best Brains also reserves the right to use other channels of distribution, such as the Internet, mail order, or catalog sales, to sell products or services under different trademarks anywhere. Franchisees are prohibited from selling products or services through these channels unless they receive written approval from Best Brains. This further emphasizes the non-exclusive nature of the franchise and the potential for competition from Best Brains' other ventures.