Who has the right to control administrative proceedings or litigation involving Chatime's copyrights?
Chatime Franchise · 2025 FDDAnswer from 2025 FDD Document
We and La Kaffa have the right to control all administrative proceedings or litigation involving our copyrights. We will pay all costs you incur to commence or defend legal proceedings relating to our copyrights provided that we have authorized your actions. If we undertake the defense or prosecution of any such legal proceeding, you will execute any documents and do such acts as may be necessary in our counsel's opinion to carry out such defense or prosecution. If we require you to modify or discontinue using the subject matter covered by the copyright, you must do so immediately.
Source: Item 14 — Patents, Copyrights, and Proprietary Information (FDD pages 40–41)
What This Means (2025 FDD)
According to Chatime's 2025 Franchise Disclosure Document, both Chatime and La Kaffa have the right to control all administrative proceedings or litigation involving Chatime's copyrights. La Kaffa International Co., Ltd. is Chatime's parent company.
Chatime will cover all costs a franchisee incurs to commence or defend legal proceedings relating to its copyrights, provided that Chatime has authorized these actions. If Chatime undertakes the defense or prosecution of any legal proceeding, the franchisee is required to execute any documents and perform any actions deemed necessary by Chatime's counsel to carry out the defense or prosecution.
The franchisee must immediately modify or discontinue using the subject matter covered by the copyright if Chatime requires it. This means a franchisee may have to change their business practices or marketing materials at their own expense if Chatime deems it necessary to protect their copyrights.