What potential expense might a Better Blend franchisee incur if the trademark is challenged?
Better_Blend Franchise · 2024 FDDAnswer from 2024 FDD Document
The following is the principal trademark that we license to you. This trademark is owned by our affiliate, Better Blend Nutrition, LLC. We do not have a federal registration for our principal trademark. Therefore, our trademark does not have many legal benefits and rights as a federally registered trademark. If our right to use the trademark is challenged, you may have to change to an alternative trademark, which may increase your expenses.
Under the franchise agreement, we may require you to modify or discontinue using a trademark, at your expense. You will have a reasonable period of time to comply with the change, not to exceed 90 days. After such period, you would no longer have the right to use the unmodified or discontinued trademark.
We are aware of a prior trademark registered with U.S. States Patent and Trademark Office which may be considered similar in appearance, sound, and commercial impression: "BETTR" which is in the category of "Fruit beverages; fruit-based beverages; fruit-flavored beverages; vegetable juices; vegetable-based juices; non-alcoholic beverages containing fruit juices; nonalcoholic beverages, namely, carbonated beverages; non-alcoholic malt beverages; proteinenriched sports beverages; smoothies; soy-based beverages not being milk substitutes; water beverages."
Source: Item 13 — TRADEMARKS (FDD pages 29–31)
What This Means (2024 FDD)
According to Better Blend's 2024 Franchise Disclosure Document, a franchisee may incur expenses if the right to use the Better Blend trademark is challenged. Because Better Blend does not have a federal registration for its principal trademark, it lacks many of the legal benefits and rights that come with federal registration. If the trademark is challenged, a franchisee may be required to change to an alternative trademark.
This change to an alternative trademark could increase a franchisee's expenses. Additionally, Better Blend may require a franchisee to modify or discontinue using a trademark, and the franchisee would be responsible for these expenses. The franchisee has a reasonable period of time, not exceeding 90 days, to comply with the change. After this period, the franchisee can no longer use the unmodified or discontinued trademark.
Better Blend is aware of a prior trademark, "BETTR", that is registered with the U.S. States Patent and Trademark Office, which may be considered similar. Better Blend is also aware of other food-service businesses using similar names, such as "Blend" or "Blend. Nutrition", which may have superior rights in their local trade areas. These existing trademarks and businesses could potentially lead to challenges to Better Blend's trademark, resulting in the franchisee incurring expenses related to changing or modifying the trademark.