Does Black Bear Diner regulate the use and display of the Marks at the Franchised Restaurant?
Black_Bear_Diner Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisor is the owner or licensee of the Marks licensed to Franchisee by this Agreement. Franchisee acknowledges that its right to use the Marks is derived solely from this Agreement and is limited to the conduct of business by Franchisee pursuant to and in compliance with this Agreement and all applicable standards, specifications and operating procedures prescribed by Franchisor during the term of the Franchise. Any unauthorized use of the Marks by Franchisee is a breach of this Agreement and an infringement of the rights of Franchisor in and to the Marks. All usage of the Marks by Franchisee and any goodwill established by Franchisee's use of the Marks shall inure to the exclusive benefit of Franchisor and its affiliates. This Agreement does not confer any goodwill or other interests in the Marks upon Franchisee. Franchisee shall not, at any time during the term of this Agreement or after its termination or expiration, contest the validity or ownership of any of the Marks or assist any other person in contesting the validity or ownership of any of the Marks. All provisions of this Agreement applicable to the Marks apply to any additional
Franchisee agrees that Franchisor, Franchisee and other Black Bear Diner franchisees will benefit from the maintenance of reasonable standards for appearance and trade dress including prominent display of the Marks and the distinctive black bear trade dress. The Approved Location and the Franchised Restaurant will conform to all specifications for decor, furniture, fixtures, equipment, exterior and interior decorating designs and color schemes established by the Franchisor. The Franchisee will obtain and pay for the decor, furniture, fixtures, equipment, exterior and interior decorating designs and color schemes, inventory and supplies specified by the Manual or otherwise in writing by the Franchisor used by the Franchisee for the operation of its Black Bear Diner restaurant. All decor, furniture, fixtures, equipment, exterior and interior decorating designs and color schemes used in the Franchisee's Black Bear Diner restaurant must be installed and located in accordance with the floor plans approved by the Franchisor, and must conform to the quality standards and uniformity requirements established by the Franchisor. Franchisee agrees to purchase from Franchisor's designated supplier, which may include Franchisor or its affiliates, certain items necessary for the interior decoration of the Franchised Restaurant ("Décor Package") consisting of decorations including framed bear posters, photographs of local historical sites, photographs of local school activities, wallpaper featuring the black bear theme and other related items. A complete list of items included in the Décor Package is included in Exhibit B to this Agreement. In addition, Franchisee agrees to purchase from Franchisor's designated supplier, which may include Franchisor or its affiliates certain wood bear images featuring a rustic hand-carved of bears in various settings ("Carved Bear Package"). A complete list of the items included in the Carved Bear Package is included in Exhibit C to this Agreement.
Upon termination or expiration, this Agreement and all rights granted hereunder to Franchisee shall terminate and Franchisee will:
- (c) cease to use the Confidential Information, the System, the Marks and any distinctive forms, slogans, signs, symbols, logos or devices associated with the Marks or System. In particular, Franchisee shall cease to use, without limitation, all signs, advertising materials, stationery, forms and any other items which display the Marks;
- (d) assign to Franchisor any assumed name or equivalent registration filed with state, city or county authorities which contain the name "Black Bear Diner" or any of the Marks;
Source: Item 23 — RECEIPT (FDD pages 56–243)
What This Means (2025 FDD)
According to the 2025 FDD, Black Bear Diner maintains control over the use and display of its Marks at franchised restaurants. As the owner or licensee of the Marks, Black Bear Diner grants franchisees the right to use them, but this right is strictly tied to the franchisee's compliance with the Franchise Agreement and all standards set by Black Bear Diner. Any unauthorized use of the Marks is considered a breach of the agreement and an infringement of Black Bear Diner's rights. All goodwill associated with the Marks through the franchisee's use benefits Black Bear Diner exclusively. Franchisees are prohibited from contesting the validity or ownership of the Marks during and after the term of the agreement.
Black Bear Diner requires franchisees to maintain specific standards for the appearance and trade dress of their restaurants, including the prominent display of the Marks and the distinctive black bear theme. The franchised restaurant must adhere to the franchisor's specifications for decor, furniture, fixtures, equipment, and color schemes. Franchisees are responsible for obtaining and paying for these items as specified in the manual or in writing by Black Bear Diner. The franchisor also designates suppliers from whom franchisees must purchase certain interior decoration items, such as framed bear posters and carved bear images.
Upon termination or expiration of the Franchise Agreement, the franchisee must cease using the Marks and any related distinctive items. This includes signs, advertising materials, and stationery displaying the Marks. The franchisee must also assign to Black Bear Diner any assumed name registrations containing "Black Bear Diner" or any of the Marks. These stipulations ensure that Black Bear Diner retains complete control over its brand identity and prevents any potential misuse or unauthorized representation of the brand after the franchise relationship ends.