Is a Chesters franchisee allowed to use any Mark as part of any unauthorized domain name?
Chesters Franchise · 2025 FDDAnswer from 2025 FDD Document
renewed.
You must follow our rules when you use the Marks, including giving proper notices of trademark and service-mark registration and obtaining fictitious or assumed-name registrations required by law. You have no right to use any Mark in your corporate or legal business name; with modifying words, terms, designs, or symbols (except for those we license to you); in selling any unauthorized products or services; or as part of any unauthorized domain name, homepage, electronic address, or otherwise in connection with a website.
There are no currently effective material determinations of the USPTO, the Trademark Trial and Appeal Board, the trademark administrator of any state, or any court, and no pending infringement, opposition, or cancellation proceedings or material litigation, involving the principal Marks. We do not actually know of either superior prior rights or infringing uses that could materially affect your use of the Marks in any state. No agreement limits our right to use or license the Marks.
The Agreement does not require us to protect your right to use the Marks listed above or to protect you against claims of infringement or unfair competition from your use of the Marks. You have no contractual obligation to notify us of any apparent infringement or challenge to your use of any Mark or of any person's claim of any rights in any Mark. In all these cases, we have the right to take the action we deem appropriate (including no action). Because we own the Marks, we would expect to control exclusively any litigation, USPTO proceeding, or other administrative proceeding arising from any infringement, challenge, or claim.
Source: Item 13 — TRADEMARKS (FDD pages 31–33)
What This Means (2025 FDD)
According to Chesters's 2025 Franchise Disclosure Document, franchisees are explicitly prohibited from using any of Chesters's Marks as part of an unauthorized domain name. This restriction extends to homepages, electronic addresses, and any other connection with a website. This means a franchisee cannot register a domain name that includes "Chesters" or any other trademarked name owned by the company without express authorization.
This restriction is typical in franchising, as franchisors need to protect their brand identity and ensure consistent representation across all online platforms. Unauthorized use of trademarks in domain names can lead to customer confusion, damage the brand's reputation, and create legal issues for both the franchisee and the franchisor. Chesters maintains control over its brand and how it is presented to the public.
For a prospective Chesters franchisee, this means carefully selecting a domain name that does not infringe on Chesters's trademarks. It also highlights the importance of adhering to Chesters's guidelines for online presence and marketing materials. Franchisees should seek approval from Chesters for any online branding initiatives to ensure compliance with the franchise agreement and protect both their own interests and the integrity of the Chesters brand.
Chesters retains the right to take action, or no action, regarding any apparent infringement or challenge to the use of any Mark. Franchisees must cooperate with Chesters in defending or settling litigation. Chesters is not obligated to participate in the franchisee's defense or indemnify them for expenses or damages if the franchisee is party to an administrative or judicial proceeding involving a Mark licensed to them.