factual

What is a Buildingstars franchisee's obligation if Buildingstars decides to use substitute names or marks?

Buildingstars Franchise · 2025 FDD

Answer from 2025 FDD Document

If we decide to modify or discontinue the use of the Marks and/or to use one or more additional or substitute names or marks, you will be obligated to do so at your own expense and without claim against us, within a reasonable time of our request.

Source: Item 13 — TRADEMARKS (FDD pages 27–28)

What This Means (2025 FDD)

According to Buildingstars's 2025 Franchise Disclosure Document, if Buildingstars decides to modify or discontinue the use of its current marks, or decides to use substitute names or marks, franchisees are obligated to comply. This means a Buildingstars franchisee must adopt the new marks.

The franchisee is responsible for making these changes at their own expense. This includes any costs associated with updating signage, marketing materials, and other branded items to reflect the new marks. The franchisee cannot make a claim against Buildingstars for these expenses.

The changes must be implemented within a reasonable time frame after Buildingstars requests the change. What constitutes a "reasonable time" is not defined in this section, but it would likely depend on the scope of the changes required and could be a point of negotiation or clarification for prospective franchisees.

This requirement is fairly standard in franchising, as franchisors need the flexibility to update their branding to stay competitive or address legal challenges. However, the fact that the franchisee bears the cost is an important consideration. A prospective Buildingstars franchisee should factor in the potential cost of rebranding when evaluating the investment.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.