What happens to innovations related to a Cd One Price Cleaners store?
Cd_One_Price_Cleaners Franchise · 2025 FDDAnswer from 2025 FDD Document
8.6 Innovations. All ideas, concepts, techniques and materials relating to a CD Store ("Innovations"), whether or not protectable intellectual property and whether created by or for Franchisee or its owners, employees or contractors, must be promptly disclosed to Franchisor and will be deemed to be Franchisor's sole and exclusive property and works made-for-hire for Franchisor. To the extent any Innovation does not qualify as a "work made-for-hire" for Franchisor, by this paragraph Franchisee assigns ownership of that item, and all related rights to that item, to Franchisor and agrees to sign (and to cause its owners, employees and contractors to sign) whatever assignment and other documents Franchisor periodically requests to evidence Franchisor's ownership and to help it obtain intellectual property rights in the item. Franchisee may not use any Innovation in operating the Store or otherwise without Franchisor's prior approval.
Source: Item 23 — Receipts (FDD pages 72–263)
What This Means (2025 FDD)
According to Cd One Price Cleaners's 2025 Franchise Disclosure Document, any innovations related to a CD Store are the sole and exclusive property of the franchisor. This includes all ideas, concepts, techniques, and materials, regardless of whether they are protectable intellectual property. This applies whether the innovations are created by or for the franchisee, their owners, employees, or contractors.
The franchisee is required to promptly disclose any such innovations to Cd One Price Cleaners. These innovations are automatically deemed works made-for-hire for the franchisor. If an innovation does not legally qualify as a work made-for-hire, the franchisee must assign ownership and all related rights to Cd One Price Cleaners. The franchisee also agrees to sign any documents necessary to evidence the franchisor's ownership and help them obtain intellectual property rights.
Furthermore, the franchisee is prohibited from using any innovation in operating the store or otherwise without obtaining prior approval from Cd One Price Cleaners. This clause ensures that Cd One Price Cleaners maintains complete control over any new developments or improvements related to the CD Store concept, and that the franchisee cannot independently benefit from or implement such innovations without the franchisor's consent.