Is a Bevaris Alliance franchisee allowed to contest Bevaris Alliance's interest in trade secrets?
Bevaris_Alliance Franchise · 2024 FDDAnswer from 2024 FDD Document
You must not directly or indirectly contest our right to our trademarks, trade secrets, or business techniques that are part of our business.
Source: Item 14 — PATENTS, COPYRIGHTS AND PROPRIETARY INFORMATION (FDD page 16)
What This Means (2024 FDD)
According to the 2024 Bevaris Alliance Franchise Disclosure Document, franchisees are prohibited from contesting Bevaris Alliance's rights to their trademarks, trade secrets, or business techniques. This restriction is explicitly outlined in Item 13, which addresses trademarks.
This means that as a Bevaris Alliance franchisee, you agree not to challenge Bevaris Alliance's ownership or use of its trademarks, trade secrets, or business methods that are integral to the franchise. This includes any attempt to claim that Bevaris Alliance does not have valid rights to these assets or that they are not protectable under law.
The FDD also states that franchisees must notify Bevaris Alliance immediately if they become aware of any infringement or challenge to the use of Bevaris Alliance's trademarks. Bevaris Alliance will then take action as it deems appropriate. While Bevaris Alliance is not obligated to defend the franchisee against claims, it will reimburse the franchisee for liability and reasonable costs incurred in defending Bevaris Alliance's trademarks, provided the franchisee promptly notified Bevaris Alliance of the issue. This obligation does not extend to trade secrets, however. Franchisees must also modify or discontinue the use of a trademark if Bevaris Alliance modifies or discontinues it, with Bevaris Alliance covering the tangible costs of compliance, such as changing signs.