Who controls legal proceedings related to Brain Balance trademarks?
Brain_Balance Franchise · 2025 FDDAnswer from 2025 FDD Document
BBF must be notified immediately if you learn about an infringement of, imitation of, or suspected unauthorized use of – or challenge to use – the Marks. Any judicial, arbitration, or administrative proceedings and actions involving the Marks will be controlled by us. We have the right, but not the obligation, to take action against uses by others that may constitute infringement of the Marks. We have the right, but not the obligation, to defend you against any third-party claim, suit, or demand arising out of your use of the Marks. Our current policy is to take appropriate action when a potential infringement of our name or the Marks has occurred. We are not obligated to participate in your defense and/or indemnify you for damages or expenses incurred if you are a party to an administrative or judicial proceeding involving the Marks.
Source: Item 13 — TRADEMARKS (FDD pages 49–51)
What This Means (2025 FDD)
According to Brain Balance's 2025 Franchise Disclosure Document, Brain Balance Holdings, Inc. maintains control over any legal proceedings related to its trademarks. Specifically, Brain Balance must be notified immediately if a franchisee learns of any potential infringement or unauthorized use of the Brain Balance marks.
Brain Balance retains the right to manage any judicial, arbitration, or administrative actions concerning the trademarks. This means that Brain Balance, not the franchisee, will direct the legal strategy and make decisions in such cases. While Brain Balance has the right to take action against infringers, it is not obligated to do so. Similarly, Brain Balance has the right, but not the obligation, to defend a franchisee against third-party claims arising from the franchisee's use of the Brain Balance marks.
It's important to note that Brain Balance is not obligated to participate in a franchisee's defense or cover any damages or expenses if the franchisee is involved in legal proceedings concerning the marks. This means a franchisee could potentially bear the costs of defending their use of the Brain Balance trademarks, even if the issue stems from an action outside of their control. This is a common arrangement in franchising, where the franchisor protects the brand's intellectual property but may not always cover individual franchisee's legal costs.
In summary, while franchisees are granted the right to use Brain Balance's trademarks, Brain Balance maintains ultimate control over their legal protection and enforcement. Franchisees are responsible for notifying Brain Balance of any potential issues, but they may also be responsible for their own legal defense in certain situations.