What happens if a Boulder Designs franchisee misuses the Marks?
Boulder_Designs Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee must use the Marks as the sole trade identification of the Franchised Business, and in accordance with Franchisor's written direction and specifications. Franchisee shall not use any Mark or portion of any Mark as part of any business entity name. Franchisee shall obtain such fictitious or assumed name registrations as may be required under applicable law to do business as a Franchised Business. Franchisee shall not use any Mark in connection with the sale of any unauthorized product or service or in any other manner not expressly authorized in writing by Franchisor. Franchisee shall give advanced written notice to Franchisor before filing applications for trademark and/or service mark registrations. Franchisee shall not register or seek to register as a trademark or service mark, either with the United States Patent and Trademark Office or any state or foreign country, any of the Marks or a trademark or service mark that is confusingly similar to any Mark licensed to Franchisee. Franchisee shall include on its letterhead, forms, cards and other such identification, and shall display at the Approved Location, a prominent notice stating that the Franchised Business is an "Independently Owned and Operated Boulder Designs Franchise of Franchisee."
Franchisor has the sole right to maintain Social Media sites and/or applications including, but not limited to: Twitter, Facebook, LinkedIn and other sites or applications that Franchisor may establish. Franchisor will allow Franchisee to establish or utilize Social Media sites or applications for business purposes provided that all content is pre-approved by the Franchisor prior to first use and must meet Franchisor's specifications and System Standards. Franchisee and Franchisee's employees do not have the right to utilize the Marks on any Social Media sites and/or applications, even if made from a personal Social Media account. Further, any representations from Franchisee or Franchisee's employees regarding Franchisee's profits or earnings made on any Social Media site or application, even if made from a personal Social Media account, is deemed a breach of Confidential Information under this Franchise Agreement.
Source: Item 22 — CONTRACTS (FDD page 50)
What This Means (2025 FDD)
According to Boulder Designs' 2025 Franchise Disclosure Document, a franchisee must use the Marks as the sole trade identification of their Franchised Business, adhering to Boulder Designs' written directions and specifications. A franchisee cannot use any Mark or part of a Mark as part of their business entity name and must obtain any required fictitious or assumed name registrations to legally operate as a Franchised Business.
The franchisee is prohibited from using any Mark in connection with unauthorized products or services or in any way not explicitly approved in writing by Boulder Designs. Before filing for trademark or service mark registrations, the franchisee must provide advanced written notice to Boulder Designs. The franchisee is not allowed to register or attempt to register any of the Marks, or any trademark or service mark confusingly similar to the licensed Marks, with the United States Patent and Trademark Office or any state or foreign country.
The franchisee must include a prominent notice on their letterhead, forms, cards, and display at the Approved Location, stating that the Franchised Business is an "Independently Owned and Operated Boulder Designs Franchise of Franchisee." Boulder Designs maintains sole control over Social Media sites and applications, but franchisees may establish or use these platforms for business with pre-approved content that meets Boulder Designs' specifications and System Standards. Franchisees and their employees cannot use the Marks on any Social Media sites or applications, even from personal accounts, and any earnings representations made on these platforms are considered a breach of Confidential Information under the Franchise Agreement.
Furthermore, franchisees cannot advertise on the Internet or operate a website using a domain name containing the Mark or the words "Boulder Designs" without prior written approval from Boulder Designs. Failure to adhere to these regulations could result in a breach of the franchise agreement, potentially leading to penalties or termination of the franchise agreement.