What rules must a franchisee follow when using any of Budget's Proprietary Marks?
Budget Franchise · 2025 FDDAnswer from 2025 FDD Document
pal Register federal registration for these marks, Budget does not have certain presumptive legal rights granted by a registration. Budget nevertheless has enforceable common law rights in those marks to the extent they have been used in commerce
You must follow Budget's rules when you use any of Budget's Proprietary Marks. You cannot use a name or mark as part of a corporate name or with modifying words, designs, or symbols, except for those
that Budget licenses to you, or in any modified form. You may not use Budget's Proprietary Marks in connection with the sale of any unauthorized product or service or in any manner that Budget does not expressly authorize in writing. You may not use Budget's Proprietary Marks as part of an electronic address or a domain name except in the form Budget approves. You must display Budget's Proprietary Marks prominently and in the manner Budget specifies on signs, forms, and other materials Budget designates.
Several of Budget's Proprietary Marks are registered in over 150 foreign countries and the United States.
There are no currently effective material determinations of the PTO, the Trademark Trial and Appeal Board, the trademark administrator of any state or any court, no pending infringement, opposition or cancellation proceedings, and no pending material litigation, involving Budget's Proprietary Marks. All required affidavits for Budget's Proprietary Marks that are registered have been filed.
No agreements limit Budget's right to use or license the use of Budget's Proprietary Marks. Budget does not know of any superior prior rights or infringing use that could materially affect your use of Budget's Proprietary Marks.
You must notify Budget immediately when you learn about an infringement of or challenge to your use of Budget's Proprietary Marks or of any person's claim of any rights in any of Budget's Proprietary Marks or any similar name or mark.
Source: Item 13 — TRADEMARKS (FDD pages 63–64)
What This Means (2025 FDD)
According to Budget's 2025 Franchise Disclosure Document, franchisees must adhere to specific rules when using Budget's Proprietary Marks. Franchisees are prohibited from using any name or mark as part of a corporate name, or with any modifying words, designs, or symbols, unless Budget explicitly licenses those elements. This ensures that the brand's identity remains consistent and protected. Franchisees also cannot use Budget's Proprietary Marks in connection with the sale of any unauthorized product or service, or in any manner that Budget does not expressly authorize in writing, preventing brand dilution or misuse.
Furthermore, franchisees are restricted from using Budget's Proprietary Marks as part of an electronic address or a domain name, except in a form that Budget approves. This is likely to maintain control over Budget's online presence and prevent cybersquatting or other unauthorized online activities. Franchisees are required to display Budget's Proprietary Marks prominently and in the manner Budget specifies on signs, forms, and other materials Budget designates, ensuring consistent brand visibility and presentation.
Additionally, franchisees must notify Budget immediately if they become aware of any infringement or challenge to their use of Budget's Proprietary Marks, or any claim of rights in those marks. Budget retains the exclusive right to control any litigation or administrative proceeding arising from such issues. While Budget is not required to indemnify or defend franchisees against claims related to their use of the marks, they will reimburse franchisees for tangible costs of compliance (such as changing signs) if franchisees are directed to modify or discontinue the use of any Proprietary Marks. Franchisees are prohibited from contesting Budget's rights to its trademarks, trade secrets, or business techniques.