What right does Bor Restoration have regarding a franchisee's use of the marks?
Bor_Restoration Franchise · 2024 FDDAnswer from 2024 FDD Document
ll appropriate affidavits for the Marks when required by law.
We have the right to control any administrative proceedings or litigation involving a Mark licensed by us to you. If you learn of any claim against you for alleged infringement, unfair competition, or similar claims about the Marks, you must promptly notify us. We will take the action we deem necessary to defend you. We must indemnify you for any action against you by a third party based solely on alleged infringement, unfair competition, or similar claims about the Marks. We have no obligation to defend or indemnify you if the claim against you is related to your use of the Marks in violation of the Franchise Agreement.
We have the right to require you to modify or discontinue your use of any of the Marks. If we exercise this right, we will provide all franchisees with advance notice.
We have secured the following Internet domain names: www.BORestoration.com. Other domain names may be added at our discretion.
If we, in our sole discretion, determine it necessary to modify or discontinue the use of any proprietary Marks or to develop additional or substitute marks, you will, within a reasonable time after receipt of written notice of such modification or discontinuation from us, take such action, at your sole expense, as may be necessary to comply with such modification, discontinuation, addition, or substitution.
If you learn that an unauthorized third party is using the Marks or any variant of them, you must promptly notify us. We will determine whether we wish to take any action against the third party. You have no right to demand or prosecute any claim against the alleged infringer. We will not pay any franchisee for exercising these rights.
Source: Item 13 — Trademarks (FDD pages 30–31)
What This Means (2024 FDD)
According to Bor Restoration's 2024 Franchise Disclosure Document, Bor Restoration has the right to control administrative proceedings or litigation involving a mark licensed to the franchisee. If a franchisee learns of any claim against them for alleged infringement, unfair competition, or similar claims about the marks, they must promptly notify Bor Restoration, and Bor Restoration will take the action it deems necessary to defend the franchisee. Bor Restoration must indemnify the franchisee for any action against them by a third party based solely on alleged infringement, unfair competition, or similar claims about the marks, unless the claim is related to the franchisee's use of the marks in violation of the Franchise Agreement.
Bor Restoration also has the right to require a franchisee to modify or discontinue their use of any of the marks, providing all franchisees with advance notice if they exercise this right. Furthermore, if Bor Restoration determines it necessary to modify or discontinue the use of any proprietary marks or to develop additional or substitute marks, the franchisee will, within a reasonable time after receipt of written notice, take action at their sole expense to comply with such changes.
If a franchisee learns that an unauthorized third party is using the marks or any variant of them, they must promptly notify Bor Restoration. Bor Restoration will determine whether it wishes to take any action against the third party, and the franchisee has no right to demand or prosecute any claim against the alleged infringer. Bor Restoration will not pay any franchisee for exercising these rights. Bor Restoration has secured the Internet domain name www.BORestoration.com, and other domain names may be added at their discretion.