Is a Bft franchisee required to cooperate with litigation relating to the Bft Marks undertaken by Bft or its affiliates?

According to Bft's 2025 Franchise Disclosure Document, franchisees are required to cooperate with any litigation relating to the Bft Marks that Bft, its affiliates, or its licensor might undertake. This means that if Bft or its related entities become involved in a lawsuit concerning the trademarks, franchisees must provide assistance and support as needed. This cooperation could involve providing documents, giving testimony, or other forms of support to aid Bft in the legal proceedings.

This requirement is fairly standard in franchising, as franchisors need to protect their trademarks, which are a critical asset and brand identifier. By requiring franchisees to cooperate, Bft ensures that it can effectively defend its trademarks against infringement or challenges. The FDD also states that franchisees must immediately notify Bft of any apparent infringement or challenge to the use of the Marks. However, Bft retains control over any litigation or proceeding, although they are not obligated to take action.

For a prospective Bft franchisee, this means being prepared to assist Bft in legal matters related to the trademarks. While it is unlikely that every franchisee will be involved in litigation, it is important to understand this obligation and be ready to fulfill it if necessary. Failure to cooperate could potentially result in a breach of the franchise agreement.

Overall, this provision underscores the importance of trademarks to the Bft franchise system and the shared responsibility between the franchisor and franchisees in protecting these valuable assets.