What is a Chatime franchisee obligated to do if they become aware of someone using Chatime's marks on their website?

According to Chatime's 2025 Franchise Disclosure Document, if a franchisee becomes aware of any person using or referring to Chatime's marks on their website, they must immediately notify Chatime. This obligation is in place to protect Chatime's brand and intellectual property.

This requirement ensures that Chatime is promptly informed of any potential infringement of its trademarks online. By mandating immediate notification, Chatime can take swift action to address the unauthorized use of its marks, which may include legal measures to protect its brand and prevent consumer confusion. This is a standard practice in franchising, as franchisors need to safeguard their brand identity and reputation.

For a prospective Chatime franchisee, this means being vigilant about monitoring the internet for any unauthorized use of the Chatime brand. While it may seem like an additional burden, it is a crucial responsibility that helps maintain the integrity and value of the Chatime brand, which ultimately benefits all franchisees. Failing to report such infringements could potentially lead to a breach of the franchise agreement.