What are the specific consequences for a C12 Group franchisee who violates the trademark usage guidelines, considering the trademarks owned by C12 Group as listed in Item 13 and the franchisee's obligations in Item 9?
C12_Group Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee agrees to use Franchisor's current and future trademarks, service marks, trade names, logotypes, and domain names only in the ways Franchisor has approved in advance in writing as Franchisor has set forth in its training and operating manuals or in other routine communications to C12 Group franchisees such as semi-annual training workshops and via Franchisor's web-based portal for franchisee materials, resources, and information.
Franchisor's branding and marks shall only be used by Franchisee in conjunction with the delivery of approved C12 Group goods and services.
Franchisor agrees to indemnify, defend, and hold Franchisee harmless in the event that Franchisee's use of Franchisor's trademarks in accordance with this Agreement infringes upon the intellectual property rights of a third party.
Franchisee agrees to notify Franchisor immediately if and when Franchisee learns of an infringement or challenge to Franchisee's use of any of Franchisor's trademarks.
Franchisee shall not directly or indirectly contest Franchisor's right to, or use of, the C12 trademarks, trade secrets, or proprietary materials and processes that are part of Franchisor's business format.
If this Agreement is terminated, Franchisee agrees to immediately cease using Franchisor's trade name, trademarks, service marks, symbols, or insignia, or any proprietary materials, forms, bulletins, advertising materials, slogans, manuals, or websites which relate to the name and marks listed in this Agreement.
Franchisee shall ensure compliance with this by returning
these materials to Franchisor or, if Franchisor directs, destroying them.
What This Means (2025 FDD)
According to the 2025 C12 Group Franchise Disclosure Document, C12 Group owns various trademarks, service marks, trade names, logotypes, internet domain names, and commercial symbols that franchisees are licensed to use. Franchisees must use these trademarks only in ways that C12 Group has approved in writing, as outlined in training, operating manuals, or other communications. The branding and marks should only be used when delivering approved C12 Group goods and services. Franchisees are also required to notify C12 Group immediately if they become aware of any infringement or challenges to the use of C12 Group's trademarks. Franchisees cannot contest C12 Group's rights to these trademarks, trade secrets, or proprietary materials.
If a C12 Group franchise agreement is terminated, the franchisee must immediately stop using C12 Group's trade name, trademarks, service marks, symbols, or insignia, as well as any proprietary materials, forms, bulletins, advertising materials, slogans, manuals, or websites related to the names and marks. The franchisee must return these materials to C12 Group or destroy them as directed. Any use of C12 Group's proprietary programs, Business Forum formats, and techniques trained through the Field Operations Manual, Meeting Playbook, Brand Standards Guide, and New Chair Training protocol will be considered a violation of copyright privileges.
Failure to comply with these trademark usage guidelines can lead to termination of the franchise agreement. Additionally, franchisees are expected to adhere to C12 Group's basic business model and standard processes, including using C12 Group's agendas, facilitation standards, materials, segments, forms, logos, websites, and formats, and strictly following the C12 Brand Standards Guide for paper and colors. Any deviation or substitution requires prior written approval from C12 Group. Franchisees are also restricted from reproducing the C12 Group trade name, logo, or copyrighted materials beyond normal, permitted uses in monthly meetings, events, seminars, and marketing efforts without prior written permission and compliance with the C12 Brand Standards Guide.