If Brueggers Bagels requires a licensee to use substitute trademarks, who bears the expense?
Brueggers_Bagels Franchise · 2025 FDDAnswer from 2025 FDD Document
use them.
3.4. Use of Trademarks.
- (a) Subject to the approval of the Lessor, Licensee shall affix to the Bakery, at such places as may permissibly be affixed in accordance with Licensee's Management Agreement and/or Lease for the Facility, signs containing the Marks in the size, color and quality of that prescribed by Licensor and approved by the Lessor. Licensee shall not display signs containing any of the Marks at any place to which Licensor reasonably objects.
- (b) Licensee shall accept, use and display, as may be applicable, such Marks in accordance with the Standards, which may be determined by Licensor from time to time.
- (c) Licensee shall ensure that the Marks
Source: Item 22 — CONTRACTS (FDD page 61)
What This Means (2025 FDD)
According to Brueggers Bagels' 2025 Franchise Disclosure Document, the licensee is generally responsible for the expenses associated with using additional or substitute trademarks. However, there is a limit to this expense.
The FDD states that if Brueggers Bagels determines it advisable to modify or discontinue any marks, or use substitute trademarks, the licensee must comply with these directives and display the substitute trademarks at their own expense. This includes the cost of changing signage, marketing materials, and other branded items to reflect the new trademarks.
However, the document also provides a financial protection for the licensee. Brueggers Bagels specifies that a licensee will not be required to spend more than $5,000 in any 12-month period to comply with the obligation to use substitute trademarks. This provides a cap on the expenses a franchisee might incur due to trademark changes imposed by Brueggers Bagels.