What is the term length of the Trademark License Agreement between La Kaffa and Chatime Global for Chatime?
Chatime Franchise · 2025 FDDAnswer from 2025 FDD Document
We have a license from La Kaffa to use and to sublicense the use of the Trademarks in the
continental United States, Hawaii and Guam. This license is set forth in a certain Trademark License Agreement dated September 23, 2022, between La Kaffa and our parent company Chatime Global (including its subsidiaries). It has a term of thirty years and a renewal term of an additional ten years unless terminated earlier by us upon 90 days' notice to La Kaffa. It grants us the right to freely use and display the Trademarks in connection with the operation of our business in the continental United States, Hawaii and Guam. The license may not be assigned by us. All rights in and goodwill from the use of the Trademarks accrue to us and our affiliates. There are no other agreements that significantly limit our right to use or license the use of the Trademarks.
Source: Item 13 — Trademarks (FDD pages 38–40)
What This Means (2025 FDD)
According to Chatime's 2025 Franchise Disclosure Document, Chatime Global has a Trademark License Agreement with La Kaffa, which allows Chatime to use and sublicense trademarks in the continental United States, Hawaii, and Guam. This agreement, dated September 23, 2022, has an initial term of thirty years.
Following the initial term, the Trademark License Agreement includes an option for a renewal term of an additional ten years. However, Chatime has the right to terminate the agreement earlier by providing La Kaffa with 90 days' notice.
This licensing agreement is crucial for Chatime franchisees because it grants Chatime the legal right to use and sublicense the trademarks necessary for operating a Chatime store. The agreement cannot be assigned by Chatime. All rights and goodwill associated with the use of the trademarks accrue to Chatime and its affiliates, ensuring that the brand's value remains with the company. There are no other agreements that significantly limit Chatime's right to use or license the use of the Trademarks.