Are there any pending infringement, opposition, or cancellation proceedings or material litigation involving the Rally's Marks that Checkers is aware of?

According to Checkers's 2025 Franchise Disclosure Document, there are no currently effective material determinations by the PTO (United States Patent and Trademark Office), the Trademark Trial and Appeal Board, the trademark administrator of any state, or any court, nor are there any pending infringement, opposition, or cancellation proceedings or material litigation involving the Rally's Marks. Additionally, there are no agreements currently in effect that significantly limit Checkers's right to use or license the use of these marks in a manner material to the franchise. However, Checkers does become aware of other users of names, marks, and/or restaurant building designs that may be confusingly similar to their Marks or their distinctive building design, and where appropriate, they will take legal action. Otherwise, there are no infringing uses actually known to them that could materially affect a franchisee's use of these Marks.

This statement provides some assurance to a prospective Checkers franchisee that the Rally's trademarks are not currently subject to any legal challenges that could impact their use of the marks. However, Checkers retains the right to modify or discontinue the use of any Mark or use one or more additional or substitute trademarks, service marks or trade dress, and the franchisee must comply with their directions. Checkers will have no liability or obligation for a franchisee's modification or discontinuance of any Mark or promotion of a substitute trademark, service mark or trade dress.

A Checkers franchisee must immediately notify Checkers of any apparent infringement of or challenge to their use of any Mark, or claim by any person of any rights to any Mark. The franchisee must not communicate with any person other than Checkers and their counsel in connection with any infringement, challenge or claim. Checkers will have sole discretion to take any action they deem appropriate and will have the right to control exclusively any litigation or PTO or other administrative proceeding arising out of any infringement, challenge or claim or otherwise relating to any Mark. The franchisee must execute any and all instruments and documents, provide assistance and do such acts and things as, in the opinion of Checkers's counsel, may be necessary or advisable to protect Checkers's interests in any litigation or PTO or other administrative proceeding or otherwise to protect their interests in the Marks.

Checkers will indemnify the franchisee against, and reimburse them for, all damages for which they are held liable in any proceeding arising out of their authorized use of any Mark under the Franchise Agreement and, except as provided in the Franchise Agreement, for all costs the franchisee reasonably incurs in defending any claim brought against them or any proceeding in which they are named as a party, if the franchisee has timely notified Checkers of such claim or proceeding and the franchisee and their owners are in compliance with the Franchise Agreement and all other agreements entered into with Checkers and their affiliates. At Checkers's sole discretion, they will be entitled to prosecute, defend or settle any proceeding arising out of a franchisee's use of any Mark, and, if they decide to prosecute, defend or settle any such matter, they will have no obligation to indemnify or reimburse the franchisee for any fees or disbursements of counsel retained by the franchisee.