After transferring a Chem Dry franchise, how can the franchisee identify themselves or their business?
Chem_Dry Franchise · 2024 FDDAnswer from 2024 FDD Document
w. FRANCHISEE and its transferring Owners will not directly or indirectly at any time or in any manner (except with respect to other CHEM-DRY Businesses FRANCHISEE owns and operates) identify itself or themselves or any business as a current or former CHEM-DRY Business or as one of CDI's current or former franchisees; use any Mark, any colorable imitation of a Mark, or other indicia of a CHEM-DRY Business in any manner or for any purpose; or utilize for any purpose any trade name, trade or service mark, or other commercial symbol that suggests or indicates a connection or association with CDI.
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- FRANCHISEE agrees to take the action required to cancel all fictitious or assumed name or equivalent registrations relating to FRANCHISEE'S use of any Mark;
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- FRANCHISEE agrees to deliver to CDI or to destroy all signs, brochures, advertising materials, forms, invoices and other materials containing any Mark or otherwise identifying or relating to a CHEM-DRY Business, including removing all signs, emblems, lettering and logos, or any other indicia of a CHEM-DRY Business, from all business vehicles not surrendered to a third party or purchased by CDI; and
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- FRANCHISEE agrees refer any telephone number associated in any way with any Mark or the Business to 1-800-CHEMDRY (1-800-243-6379) (or another number specified by CDI). FRANCHISEE further acknowledges that it shall be a direct violation of this Agreement for FRANCHISEE to cause or participate in the transfer of any such telephone numbers to any person or entity other than CDI. In the event that FRANCHISEE fails to comply with any of the foregoing, FRANCHISEE hereby acknowledges that CDI has the sole rights to and interest in all such telephone numbers and directory listings associated with any Marks. FRANCHISEE therefore authorizes CDI, and hereby appoints CDI and any officer of CDI as FRANCHISEE's attorney in fact, to direct any telephone companies and listing agencies to transfer any such telephone numbers to CDI, or to another person or party at its direction, and the telephone companies and all listing agencies may accept such direction or this Agreement as conclusive of the exclusive rights of CDI in such telephone numbers and directory listings and its authority to direct their transfer.
Source: Item 23 — Receipts (FDD pages 68–264)
What This Means (2024 FDD)
According to Chem Dry's 2024 Franchise Disclosure Document, a franchisee who has transferred their franchise, along with their transferring owners, is restricted from identifying themselves or their business as a current or former Chem Dry business. This restriction applies to any direct or indirect identification, except for instances where the franchisee owns and operates other Chem Dry businesses.
Specifically, the franchisee cannot use any Chem Dry marks, imitations of those marks, or any other indicators that suggest an association with Chem Dry. This includes refraining from using any trade names, service marks, or commercial symbols that might imply a connection with Chem Dry.
Furthermore, the franchisee must take action to cancel any assumed name registrations related to their use of Chem Dry marks. They are also required to either deliver to Chem Dry or destroy all materials, such as signs, brochures, advertising materials, and invoices, that contain any Chem Dry mark or otherwise identify the business as a Chem Dry franchise. This includes removing all signs and logos from business vehicles unless those vehicles are surrendered to a third party or purchased by Chem Dry. Finally, the franchisee must forward any telephone number associated with Chem Dry to 1-800-CHEMDRY or another number specified by Chem Dry.