What are the conditions under which Byrider Franchising Partners can change the designated trademarks (Item 13) and how does this relate to the franchisee's obligations (Item 9)?
Byrider Franchise · 2025 FDDAnswer from 2025 FDD Document
If, in the circumstance of a trademark infringement challenge, Byrider Franchising Partners in its sole discretion directs you to modify or discontinue the use of any Mark or use one or more additional or substitute trade or service marks, you must comply with Byrider Franchising Partners' directions within a reasonable time after receiving notice. Byrider Franchising Partners will reimburse you for your reasonable direct expenses of changing printed advertising and marketing materials for which you have paid. However, Byrider Franchising Partners will not be obligated to reimburse you for any loss of revenue attributable to any modified or discontinued Mark or for any expenditures you make to promote a modified or substitute trademark or service mark.
What This Means (2025 FDD)
According to Byrider's 2025 Franchise Disclosure Document, Byrider Franchising Partners has the authority to direct a franchisee to modify or discontinue the use of any mark in the event of a trademark infringement challenge. If this occurs, Byrider will provide the franchisee with notice, and the franchisee must comply within a reasonable time frame.
Byrider will reimburse the franchisee for reasonable direct expenses incurred in changing printed advertising and marketing materials for which the franchisee has already paid. However, Byrider will not be responsible for reimbursing the franchisee for any loss of revenue resulting from the modified or discontinued mark, or for any expenses the franchisee incurs to promote a modified or substitute trademark or service mark.
Item 9, referenced in Item 16, discusses the franchisee's obligation to offer only those goods and services that Byrider has approved. While Item 13 does not directly reference Item 9, it is related because the franchisee is obligated to use the trademarks as Byrider directs and to offer only approved goods and services under those marks. This means that if Byrider changes the trademarks, the franchisee must adapt their offerings and marketing materials accordingly.