What constitutes a breach of the Franchise Agreement regarding the use of Boulder Designs trademarks?
Boulder_Designs Franchise · 2025 FDDAnswer from 2025 FDD Document
Business is to be located.
All usage of the Marks by you and any goodwill established through your use will exclusively benefit us. You will not receive any rights to the Marks other than the nonexclusive right to use them in the operation of your Franchised Business. You may only use the Marks in accordance with our standards, operating procedures and specifications. Any unauthorized use of the Marks by you is a breach of the Franchise Agreement and an infringement of Our rights in the Marks. You may not contest the validity or ownership of the Marks, including any Marks that we license to you after you sign the Franchise Agreement. You may not assist any other person in contesting the validity or ownership of the Marks.
We will protect you against claims of infringement or unfair competition arising from your use of any Marks provided (a) you immediately notify us of any apparent infringement of, or challenge or claim to you use of any Marks, (b) you are in complete compliance with your Franchise Agreement; (c) you allow us to take whatever action we deem appropriate in these situations. This means we have exclusive control over any settlement or proceeding concerning any Mark; and (d) you agree to be a witness in any legal, mediation, or arbitration proceeding on our behalf. You must take any actions that, in the opinion of our counsel, may be advisable to protect and maintain our interests in any proceeding or to otherwise protect and maintain our interests in the Marks.
Source: Item 13 — TRADEMARKS (FDD pages 34–36)
What This Means (2025 FDD)
According to Boulder Designs's 2025 Franchise Disclosure Document, several actions can constitute a breach of the Franchise Agreement regarding the use of its trademarks. Any unauthorized use of the Marks by a franchisee is considered a breach, as is infringing on Boulder Designs's rights to the Marks. Franchisees must adhere to the standards, operating procedures, and specifications set by Boulder Designs when using the trademarks.
Specifically, franchisees cannot create or operate an Internet site or website using any domain name containing "Boulder Designs" or any variation without prior written consent from Boulder Designs. Franchisees must also obtain written permission to use any Mark in connection with the sale of unauthorized products or services, or in any manner not explicitly authorized in writing by Boulder Designs.
Furthermore, franchisees are prohibited from contesting the validity or ownership of the Marks, including any Marks that Boulder Designs licenses after the Franchise Agreement is signed, and they cannot assist others in doing so. Any representations from a franchisee, or their employees regarding profits or earnings made on any Social Media site or application, even if made from a personal Social Media account, are deemed a breach of Confidential Information under the Franchise Agreement.