Does Caring Transitions retain the right to grant other licenses for the use of the Caring Transitions marks?
Caring_Transitions Franchise · 2025 FDDAnswer from 2025 FDD Document
If Franchisee or any of its Principals, affiliates, directors, officers, or employees conceives, develops, or acquires any improvements or additions to the System or the services or products offered by or the method of operation of a Caring Transitions Franchise, or any advertising or promotion ideas related to a Caring Transitions Franchise or the franchised business (collectively, "Improvements"), Franchisee shall, in each instance, promptly and fully disclose the Improvement to Franchisor without disclosure of the Improvement to others, and obtain Franchisor's written approval before using the Improvement.
Any Improvement may be used by Franchisor and Caring Transitions franchisees without any obligation to Franchisee or its Principals, affiliates, directors, officers, or employees for royalties, licensing fees, or other compensation.
Franchisee shall assign to Franchisor or Franchisor's designee(s), without charge, all rights, including the right to grant sublicenses, to all Improvements.
If for any reason Franchisee and not Franchisor is deemed to own any right to an Improvement, then this agreement will operate as an agreement to irrevocably transfer and assign all rights in and to the Improvement.
Franchisee shall take no steps to appropriate any Improvement for itself.
Franchisee shall, at Franchisor's request, execute all assignments, certificates or other instruments (and, if necessary, require its Principals, affiliates, directors, officers, employees and independent contractors to execute such documents as well) as Franchisor may from time-to-time deem necessary or desirable to evidence, establish, maintain, perfect, protect, enforce or defend Franchisor's rights, title or interest in or to any Improvement or to otherwise carry out the provisions of this paragraph.
In return, Franchisor shall authorize Franchisee to use any Improvement developed by Franchisor or another Caring Transitions franchisee that Franchisor makes part of the System.
Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 41–49)
What This Means (2025 FDD)
According to the 2025 Caring Transitions Franchise Disclosure Document, Caring Transitions retains specific rights regarding improvements or additions to the Caring Transitions system conceived or developed by a franchisee. If a franchisee develops any improvements to the system, services, products, methods of operation, or advertising ideas related to the Caring Transitions franchise, the franchisee must promptly disclose these improvements to Caring Transitions and obtain written approval before using them.
Caring Transitions has the right to use any such improvements without providing any royalties, licensing fees, or other compensation to the franchisee. Furthermore, the franchisee is required to assign all rights, including the right to grant sublicenses, to these improvements to Caring Transitions or its designee without charge. This means that Caring Transitions can license these improvements to other franchisees or third parties.
If, for any reason, the franchisee is deemed to own any right to an improvement, the franchise agreement will operate as an agreement to irrevocably transfer and assign all rights to Caring Transitions. The franchisee is prohibited from taking any steps to claim ownership of any improvement. At Caring Transitions's request, the franchisee must execute all necessary documents to evidence, maintain, protect, and enforce Caring Transitions's rights to any improvement. In return, Caring Transitions will authorize the franchisee to use any improvement developed by Caring Transitions or another franchisee that Caring Transitions incorporates into the system.