What is a Bft franchisee obligated to do if they become aware of any apparent infringement of the Bft Marks?

According to Bft's 2025 Franchise Disclosure Document, a franchisee must immediately notify Bft of any apparent infringement or challenge to the use of its marks. While Bft is not obligated to take action, it retains the right to do so and will control any related litigation or proceedings. The franchisee is required to cooperate with any litigation related to the marks that Bft, its affiliates, or licensors might undertake.

This requirement ensures that Bft maintains control over its brand and protects its trademarks. By mandating that franchisees report any potential infringement, Bft can take swift action to prevent unauthorized use of its marks, which could dilute the brand's value or confuse customers. The franchisee's cooperation in litigation is also crucial, as they may possess valuable information or evidence relevant to the case.

For a prospective Bft franchisee, this means being vigilant about protecting the brand in their local market. If they notice another business using a similar name or logo, or selling unauthorized products or services under the Bft name, they must report it to Bft immediately. While the franchisee is not responsible for taking legal action themselves, they must be prepared to assist Bft in any legal proceedings.

This clause is fairly standard in franchise agreements, as franchisors have a strong interest in protecting their intellectual property. Franchisees benefit from a strong, well-protected brand, as it enhances their ability to attract and retain customers. Therefore, the obligation to report potential infringements is a shared responsibility that benefits both the franchisor and the franchisee.