What must a Chatime Developer do if they want to alter the Intellectual Property?
Chatime Franchise · 2025 FDDAnswer from 2025 FDD Document
- 9.2 Use of Intellectual Property
- (1) Developer must:
- (a) Only use the Intellectual Property as authorized by Franchisor;
- (b) Not alter the Intellectual Property, except with Franchisor's prior written consent; and
- (c) Not do anything which may prejudice Franchisor's ownership of, or the goodwill associated with, the Intellectual Property.
Source: Item 23 — Receipts (FDD pages 58–262)
What This Means (2025 FDD)
According to Chatime's 2025 Franchise Disclosure Document, a Developer is not allowed to alter the Intellectual Property unless they have prior written consent from Chatime. The Intellectual Property includes trademarks, corporate or business names, trade names, slogans, and domain names.
This means that as a Chatime Developer, you must adhere strictly to the brand's established guidelines and standards regarding its Intellectual Property. Any deviation, no matter how small, requires explicit approval from Chatime. This protects the brand's image and reputation, ensuring consistency across all franchise locations.
This requirement is typical in franchising, as franchisors need to maintain uniformity and control over their brand. Failing to obtain written consent before making alterations could result in a breach of the franchise agreement, potentially leading to penalties or termination of the agreement.