Is Bombs Away obligated to protect its copyrights?
Bombs_Away Franchise · 2024 FDDAnswer from 2024 FDD Document
a felony; or
- (xiii) Franchisee or any Owner is accused by any governmental authority or third party of any act, or if Franchisee or any Owner commits any act or series of acts, that in Bombs Away Franchising's opinion is reasonably likely to materially and unfavorably affect the Bombs Away brand.
- 14.3 Effect of Termination. Upon termination or expiration of this Agreement, all obligations that by their terms or by reasonable implication survive termination, including those pertaining to
non-competition, confidentiality, indemnity, and dispute resolution, will remain in effect, and Franchisee must immediately:
- (i) pay all amounts owed to Bombs Away Franchising based on the operation of the Business through the effective date of termination or expiration;
- (ii) return to Bombs Away Franchising all copies of the Manual, Confidential Information and any and all other materials provided by Bombs Away Franchising to Franchisee or created by a third party for Franchisee relating to the operation of the Business, and all items containing any Marks, copyrights, and other proprietary items; and delete all Confidential Information and proprietary materials from electronic devices;
Source: Item 14 — Patents, Copyrights, and Proprietary Information (FDD pages 25–26)
What This Means (2024 FDD)
Based on the 2024 Franchise Disclosure Document, Bombs Away's obligations regarding the protection of its copyrights are not explicitly detailed. The provided excerpts focus more on the franchisee's responsibilities concerning the use of Bombs Away's intellectual property and confidential information. For instance, franchisees must return all materials containing Bombs Away's marks, copyrights, and other proprietary items upon termination or expiration of the agreement. Additionally, franchisees are required to protect the confidentiality and security of all software systems used in the business and grant Bombs Away unlimited access to their point-of-sale and other software systems. These clauses emphasize the franchisee's duty to safeguard Bombs Away's assets and interests.
However, the FDD excerpts do not specify any reciprocal duty on Bombs Away's part to actively protect its copyrights against infringement by third parties. The agreement outlines the measures a franchisee must take to protect Bombs Away's intellectual property but remains silent on Bombs Away's own obligations in this regard. This could be a significant consideration for potential franchisees, as the value and strength of the Bombs Away brand and system depend on the franchisor's active protection of its intellectual property rights.
Therefore, a prospective Bombs Away franchisee should directly inquire with Bombs Away about their specific policies and practices for protecting their trademarks, copyrights, and other intellectual property. Understanding the franchisor's commitment and actions in safeguarding its brand assets is crucial for assessing the long-term value and security of the franchise investment. Clarification on this point will provide a more complete picture of the franchisor-franchisee relationship and the franchisor's role in maintaining the brand's integrity.