Does Chesters know of any infringing uses of its copyrights that could materially affect a franchisee's use of the copyrighted materials?

According to Chesters' 2025 Franchise Disclosure Document, Chesters states that it is not aware of any copyright infringements that could significantly impact a franchisee's use of copyrighted materials. Chesters claims copyrights in its manuals, website, menus and menu-boards, construction plans, advertising materials, specifications, training handbooks, and other items used in operating Chesters restaurants. Chesters has not registered these copyrights with the United States Copyright Office, but they believe it is not necessary to do so at this time to protect them.

Chesters also claims proprietary rights to the trade dress of the Chesters system, including color schemes, patterns, designs, and décor, some of which the franchisee might use at their restaurant. Chesters states that there are currently no effective adverse determinations from the USPTO, the United States Copyright Office, or any court regarding the copyrighted materials, and no agreements limit their right to use or allow others to use the copyrighted materials.

Chesters does not have an obligation to protect or defend copyrights, although they intend to do so if it is in the system's best interests. Chesters retains the right to control any legal action, even if the franchisee brings the matter to their attention. Chesters is not required to participate in the franchisee's defense or indemnify them for damages or expenses in a copyright-related proceeding. Franchisees must also take reasonable steps to prevent improper disclosure of Chesters' confidential information and use non-disclosure agreements with those having access to it.