What is the Bhc franchisee's obligation if notified to discontinue the use of any mark?

According to Bhc's 2025 Franchise Disclosure Document, if Bhc notifies a franchisee to discontinue or modify the use of any mark, the franchisee must comply within a reasonable time. This requirement is part of maintaining the consistency and standardization of the Bhc brand across all franchise locations. Bhc retains the right to change the system, including adopting new marks, products, equipment, or techniques, and franchisees are obligated to adopt these changes.

This obligation ensures that Bhc can adapt to market changes, protect its brand identity, and maintain uniformity across all franchise locations. However, the FDD stipulates that Bhc will have no liability or obligation regarding the franchisee's modification or discontinuance of any mark. This means that any costs or losses incurred by the franchisee due to these changes are the franchisee's responsibility.

For a prospective franchisee, this means being prepared to adapt to changes in branding and marketing strategies as directed by Bhc. It is important to factor in potential costs associated with rebranding or modifying signage and marketing materials when evaluating the franchise opportunity. Franchisees should seek clarification from Bhc regarding the typical frequency and scope of such changes, as well as any potential financial assistance or support that may be available to ease the transition.