After the Bojangles franchise agreement expires or is terminated, is the franchisee allowed to use the Proprietary Marks to incur any obligation or indebtedness on behalf of the franchisor?
Bojangles Franchise · 2025 FDDAnswer from 2025 FDD Document
- (6) During the term of this Agreement and continuing after its expiration or earlier termination, Franchisee shall not use the Proprietary Marks to incur any obligation or indebtedness on behalf of Franchisor;
Source: Item 22 — CONTRACTS (FDD page 82)
What This Means (2025 FDD)
According to Bojangles's 2025 Franchise Disclosure Document, franchisees are prohibited from using Bojangles's Proprietary Marks to incur any obligation or indebtedness on behalf of the franchisor, not only during the term of the agreement but also after its expiration or termination. This restriction is explicitly stated in the franchise agreement.
This provision protects Bojangles from potential liabilities or financial obligations that a former franchisee might attempt to create using the brand's reputation and trademarks. It ensures that after the franchise agreement ends, the franchisee cannot act in a way that could financially bind Bojangles.
For a prospective franchisee, this means understanding that the right to use Bojangles's trademarks is strictly limited to the duration of the franchise agreement. After the agreement expires or is terminated, all rights to use the Proprietary Marks cease, and any attempt to use them to incur debt or obligations on behalf of Bojangles would be a violation of the agreement. This is a standard clause in most franchise agreements to protect the franchisor's brand and financial interests.