Is Chesters obligated to protect or defend its copyrights?
Chesters Franchise · 2025 FDDAnswer from 2025 FDD Document
We need not protect or defend copyrights, although we intend to do so if in the system's best interests. We have the right to control any action we choose to bring, even if you voluntarily bring the matter to our attention. We need not participate in your defense and/or indemnify you for damages or expenses in a proceeding involving a copyright.
Source: Item 14 — PATENTS, COPYRIGHTS, AND PROPRIETARY INFORMATION (FDD pages 33–34)
What This Means (2025 FDD)
According to Chesters's 2025 Franchise Disclosure Document, Chesters is not required to protect or defend its copyrights. However, Chesters states that it intends to do so if it is in the best interest of the Chesters system. Even if a franchisee brings a copyright issue to Chesters's attention, Chesters has the right to control any action it chooses to take.
Furthermore, Chesters is not obligated to participate in a franchisee's defense or provide compensation for damages or expenses if a copyright proceeding occurs. This means that if a franchisee is involved in a legal dispute related to Chesters's copyrights, the franchisee may have to handle the situation independently.
Chesters also owns all of the Marks and the goodwill associated with them and has the sole right to protect and defend them as it deems appropriate. This indicates that Chesters retains control over the protection and defense of its trademarks, and franchisees must adhere to Chesters's guidelines and approvals regarding the use of these marks.