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Does the Carls Jr. licensor have the right to license the Licensed Program and Content to the licensee?

Q: Does the Carls Jr. licensor have the right to license the Licensed Program and Content to the licensee?

- C. Licensor and/or its subsidiaries own or have the right to use and license to others certain proprietary content that from time to time is contained on the Licensed Program (collectively, the "Content"). - D. Licensor has the right to license to Licensee the Licensed Program and Content pursuant to the terms and conditions set forth in this Agreement. - E. Licensee desires to obtain a license, and Licensor desires to grant a license to Licensee, for access to and use of the Licensed Program and Content at the Franchised Restaurants upon the terms and conditions contained in this Agreement. Source: Item 23 — RECEIPTS (FDD pages 76–364)

Carls_Jr Franchise · 2025 FDD

Answer from 2025 FDD Document

C. Licensor and/or its subsidiaries own or have the right to use and license to others certain proprietary content that from time to time is contained on the Licensed Program (collectively, the "Content").
D. Licensor has the right to license to Licensee the Licensed Program and Content pursuant to the terms and conditions set forth in this Agreement.
E. Licensee desires to obtain a license, and Licensor desires to grant a license to Licensee, for access to and use of the Licensed Program and Content at the Franchised Restaurants upon the terms and conditions contained in this Agreement.

Source: Item 23 — RECEIPTS (FDD pages 76–364)

What This Means (2025 FDD)

According to the 2025 Carls Jr. Franchise Disclosure Document, the Licensor (CKE Restaurants Holdings, Inc.) possesses the right to license the Licensed Program and Content to the Licensee (franchisee). This is explicitly stated in the Star University License Agreement, which outlines the terms and conditions under which the franchisee can access and use the Licensed Program and Content at their franchised restaurants.

The Licensed Program includes educational, training, and testing services provided by a third-party vendor, Cornerstone On Demand, designed to enhance workplace skills through online courses and interactive multimedia training. The Content refers to the proprietary material contained within the Licensed Program. Carls Jr. either owns this content or has the right to license it to others.

This agreement allows Carls Jr. franchisees to utilize these resources for training and development purposes within their restaurants. It is important for prospective franchisees to understand that this license is subject to the terms and conditions outlined in the agreement, and Carls Jr. retains the right to modify or remove features of the Licensed Program and Content without the franchisee's consent.

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.

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