Does Carls Jr. own all rights to the Proprietary Marks?
Carls_Jr Franchise · 2025 FDDAnswer from 2025 FDD Document
For Carl's Jr. Restaurant franchisees, we grant you the right to operate a restaurant under the name "Carl's Jr." and to use our other current or future trademarks that we designate in the operation of your Franchised Restaurant. By trademarks, we mean trade names, trademarks, trade dress, service marks, logos, insignias, slogans, emblems, symbols, designs and any combination of these or any other indicia of source used to identify and distinguish the Carl's Jr. brand (our "Proprietary Marks"). We own all right, title and interest in and to the Proprietary Marks and you will only have such rights to use the Proprietary Marks as granted to you in the Franchise Agreement.
Source: Item 13 — TRADEMARKS (FDD pages 56–58)
What This Means (2025 FDD)
According to the 2025 Carls Jr. Franchise Disclosure Document, Carls Jr. owns all rights, title, and interest in its Proprietary Marks. These marks include trade names, trademarks, trade dress, service marks, logos, insignias, slogans, emblems, symbols, designs, and any other identifiers used to distinguish the Carls Jr. brand. Franchisees are granted the right to use these Proprietary Marks, but only to the extent specified in the Franchise Agreement. This means a franchisee's use of the Carls Jr. trademarks is limited and controlled by the franchisor.
Carls Jr.'s Proprietary Marks include both registered and unregistered trademarks. Registered marks are those that have been registered with the United States Patent and Trademark Office (USPTO) and are protected by federal registration. Unregistered marks, such as short-term product marks or trade dress, are protected by common law based on Carls Jr.'s use of the marks. The FDD lists several principal trademarks that are registered with the USPTO, including "CARL'S JR.," "HAPPY STAR," "FAMOUS STAR," "SUPER STAR," and "WESTERN BACON CHEESEBURGER."
As a Carls Jr. franchisee, it is crucial to understand the restrictions on using the Proprietary Marks. Franchisees cannot use the marks as part of their business entity name or with unauthorized modifications. They also cannot use the marks to sell unauthorized products or services. Furthermore, franchisees are prohibited from seeking registration of any mark that is similar to a Carls Jr. Proprietary Mark. Franchisees must also inform Carls Jr. of any potential infringement of the Proprietary Marks and must obtain written approval before taking any action regarding such infringement. Carls Jr. has the right, but not the obligation, to take action against infringements.