Can a Bhc franchisee claim any goodwill, reputation, or ownership due to their use of the Marks?

According to Bhc's 2025 Franchise Disclosure Document, franchisees cannot claim any goodwill, reputation, or ownership related to the brand's marks. The FDD states that franchisees acknowledge their use of Bhc's marks and intellectual property is a temporary authorization granted by the franchise agreement. The owner of the marks retains all ownership interests and goodwill generated by the marks.

Bhc franchisees explicitly agree that they will not assert any claims to the goodwill, reputation, or ownership of the marks due to their use of them. The agreement specifies that all rights to use the marks and intellectual property within the franchised system are the exclusive property of Bhc. This means that any positive reputation or brand recognition developed through the franchisee's efforts ultimately benefits Bhc, not the individual franchisee.

This is a standard practice in franchising, as it protects the brand's identity and ensures consistency across all franchise locations. Upon termination or expiration of the franchise agreement, the franchisee must discontinue all use of the marks and cannot operate under any name that might imply association with Bhc. This reinforces that the franchisee's rights to use the marks are solely tied to the duration of the franchise agreement.