What is the purpose of the Proprietary Marks mentioned in the Cd One Price Cleaners agreement?
Cd_One_Price_Cleaners Franchise · 2025 FDDAnswer from 2025 FDD Document
C. Franchisor identifies CD Stores by means of certain trade names, service marks, trademarks, logos, emblems and indicia of origin ("marks") as are now or may hereinafter be designated by Franchisor. The marks to be utilized in connection with the concept to be licensed to Franchisee pursuant to this Agreement, including "CD One Price Cleaners®," as Franchisor may add to, amend and replace them from time to time, are hereinafter referred to as "Proprietary Marks."
7.2.1 The Proprietary Marks are valid and serve to identify CD Stores;
7.2.3 Franchisee's use of the Proprietary Marks pursuant to this Agreement does not give Franchisee any ownership interest or other interest in or to the Proprietary Marks, other than the license granted by this Agreement;
7.2.4 Any and all goodwill arising from Franchisee's use of the Proprietary Marks shall inure solely and exclusively to the benefit of Franchisor and its affiliates;
7.2.6 Franchisor reserves the right from time to time to add or substitute different marks for use in identifying the Store and/or other CD Stores if the Proprietary Marks no longer can be used, or if Franchisor, in its sole judgment, determines that addition or substitution of different marks will be beneficial to Franchisor.
In such circumstances, the use of the additional or substituted marks shall be governed by the terms of this Agreement, and Franchisor shall not compensate Franchisee for such addition or
- 14.2 Cessation of Use of Confidential Information and Proprietary Marks. Franchisee shall immediately and permanently cease to use, in any manner whatsoever, (a) any products or services which incorporate trade secrets or any confidential methods, procedures or techniques associated with Franchisor; and (b) the Proprietary Marks, any trademark, service mark, trade name or symbol that is confusingly similar to any Proprietary Mark, and all other proprietary marks and distinctive forms, slogans, signs, symbols, and devices associated with Franchisor and/or CD Stores.
- 14.3 Assumed Name Registration and Telephone Numbers. Franchisee shall immediately take such action as may be necessary to cancel any assumed name or equivalent registration which contains any of the Proprietary Marks. Franchisee also shall immediately notify the telephone company and all telephone directory publishers of the termination or expiration of this Agreement and Franchisee's right to use any telephone, telecopy and other numbers and directory listings associated with any Proprietary Mark or the Store, authorize the
Source: Item 23 — Receipts (FDD pages 72–263)
What This Means (2025 FDD)
According to Cd One Price Cleaners's 2025 Franchise Disclosure Document, the Proprietary Marks (including trade names, service marks, trademarks, logos, emblems, and indicia of origin such as "CD One Price Cleaners®") serve to identify CD Stores. These marks are integral to the franchise system, allowing customers to easily recognize and associate the store with the brand's services. The goodwill generated through the franchisee's use of these marks benefits Cd One Price Cleaners and its affiliates exclusively.
The franchisee's usage of the Proprietary Marks is strictly a licensed right, meaning the franchisee does not gain any ownership or enduring interest in the marks themselves beyond the scope of the franchise agreement. Cd One Price Cleaners retains the right to use the Proprietary Marks, grant licenses to others, and even modify or substitute these marks if necessary. The franchisee is obligated to implement any such changes at their own expense.
Upon termination or expiration of the franchise agreement, the franchisee must immediately cease all use of the Proprietary Marks and any confusingly similar marks. This includes refraining from representing themselves as a current or former franchisee, canceling any assumed name registrations containing the Proprietary Marks, and transferring associated telephone listings. This ensures that the brand's identity remains protected and under the exclusive control of Cd One Price Cleaners.