Does the Buns On Fire franchise agreement allow changes to trade dress to be made?
Buns_On_Fire Franchise · 2025 FDDAnswer from 2025 FDD Document
If it becomes advisable at any time, in the sole discretion of Franchisor, to modify or discontinue use of any Mark and/or to adopt or use one or more additional or substitute proprietary marks, then Franchisee shall be obligated to comply with any such instruction by Franchisor. In such events and in the Franchisor's direction, Franchisee shall adopt, use and display only such new or modified Marks and shall
promptly discontinue the use and display of outmoded or superseded marks, at Franchisee's expense. Franchisee waives any other claim arising from or relating to any proprietary mark change, modification or substitution. Franchisor will not be liable to Franchisee for any expenses, losses or damages sustained by Franchisee as a result of any proprietary mark addition, modification, substitution or discontinuation, except that Franchisor will reimburse Franchisee for Franchisee's direct, reasonable expenses related to changing the Franchised Business' signage. Franchisee covenants not to commence or join in any litigation or other proceeding against Franchisor for any of these expenses, losses or damages.
Source: Item 23 — RECEIPTS (FDD pages 49–200)
What This Means (2025 FDD)
According to the 2025 Buns On Fire Franchise Disclosure Document, Buns On Fire has the right to modify its marks, and franchisees are obligated to comply with these changes. Specifically, if Buns On Fire decides to modify or discontinue using any mark or adopt new ones, the franchisee must follow these instructions. This includes adopting, using, and displaying new or modified marks and discontinuing the use of old marks.
The franchisee is responsible for the expenses associated with these changes, although Buns On Fire will reimburse the franchisee for direct, reasonable expenses related to changing the Franchised Business' signage. The franchisee also waives any claims against Buns On Fire related to these changes, modifications, or substitutions, and covenants not to engage in litigation against Buns On Fire regarding these expenses, losses, or damages.
This clause gives Buns On Fire significant control over its brand's image and presentation. While franchisees must bear the initial costs of implementing these changes, Buns On Fire covers the signage expenses. Franchisees need to be aware that they cannot contest these changes and must promptly adapt to maintain brand consistency, which is a fairly standard practice in franchising to ensure uniformity and customer recognition across all locations.