Can Casiola withhold consent for a franchisee's use of Digital Media for any reason?
Casiola Franchise · 2024 FDDAnswer from 2024 FDD Document
As between Franchisor and Franchisee, Franchisor is the absolute owner of the Digital Media. Franchisee shall not utilize, access or open accounts regarding or related to Digital Media unless expressly approved by Franchisor in writing which approval Franchisor may withhold, condition, limit, modify, or withdraw as determined by Franchisor in Franchisor's Reasonable Business Judgment and which approval, if given, shall be limited to the marketing and promotion of the Franchised Business in accordance with Franchisor's standards and specifications. Upon expiration or termination of this Agreement for any reason, all prior authorizations respecting Franchisee's right to use the Digital Media and/or otherwise as to any rights of Franchisee in or to the Digital Media shall be automatically terminate and, at Franchisor's election, the right to any and all accounts and/or sites (if any) associated with Digital Media utilized by Franchisee shall be transferred by Franchisee to Franchisor. Franchisee shall not utilize the Digital Media for purposes of or with the effect of libeling or disparaging another party and Franchisee shall not violate any copyrights or the legal rights of any other party or person. Franchisee is exclusively responsible for disparagement, libel and/or copyright or intellectual property infringement as to all information, data, materials, and Published Content issued, posted, and/or made available by Franchisee.
Source: Item 23 — RECEIPTS (FDD pages 47–209)
What This Means (2024 FDD)
According to Casiola's 2024 Franchise Disclosure Document, Casiola maintains absolute ownership of its Digital Media. A franchisee needs written approval from Casiola to use, access, or open accounts related to Casiola's Digital Media.
Casiola has the right to withhold, condition, limit, modify, or withdraw this approval based on its reasonable business judgment. If approval is granted, it is specifically for marketing and promotion of the Franchised Business, and it must align with Casiola's standards.
Upon the termination or expiration of the Franchise Agreement, any prior authorizations granted to the franchisee regarding the use of Digital Media are automatically terminated. Casiola can then elect to have the franchisee transfer any accounts or sites associated with the Digital Media to Casiola. The franchisee is responsible for ensuring that their use of Digital Media does not involve libel, disparagement, or infringement of copyrights or intellectual property rights.