What actions must a Chicken Guy franchisee take regarding Proprietary Marks on clothing and vehicles after termination or expiration?
Chicken_Guy Franchise · 2025 FDDAnswer from 2025 FDD Document
(5) Franchisee immediately shall discontinue all use of the Proprietary Marks and Chicken Guy's trade secrets in connection with the Franchised Restaurant and of any and all items bearing the Proprietary Marks; remove the Proprietary Marks from the Franchised Restaurant and from clothing, signs, materials, motor vehicles and other items owned or used by Franchisee in the operation of the Franchised Restaurant; cease to use, in any manner whatsoever, any Websites or other Electronic Identifiers associated with the Proprietary Marks or the System; cancel all advertising for the Franchised Restaurant that contains the Proprietary Marks (including telephone directory listings); and take such action as may be necessary to cancel any filings or registrations for the Franchised Restaurant that contain any Proprietary Marks.
**B.
Evidence of Compliance.** Franchisee shall furnish Chicken Guy, within 30 days after the effective date of termination or expiration, evidence (certified to be true, complete, accurate and correct by the chief executive officer of Franchisee, if Franchisee is a corporation; by a manager of Franchisee, if Franchisee is a limited liability company; or by a general partner of Franchisee, if Franchisee is a partnership) satisfactory to Chicken Guy of Franchisee's compliance with Sections 23.A. through 23.F.
Source: Item 22 — CONTRACTS (FDD page 50)
What This Means (2025 FDD)
According to Chicken Guy's 2025 Franchise Disclosure Document, upon termination or expiration of the Franchise Agreement, a franchisee must immediately discontinue all use of the Proprietary Marks. This obligation extends to all items bearing the Proprietary Marks, including clothing, signs, materials, and motor vehicles used in the operation of the franchised restaurant. The franchisee is required to remove all Proprietary Marks from these items.
This means a franchisee must take swift action to eliminate any branding that associates them with Chicken Guy once the agreement ends. This includes physically removing logos, names, and other trademarks from clothing worn by employees, signage at the restaurant location, marketing materials, and any vehicles used for business purposes. The franchisee must also cease using any websites or electronic identifiers associated with the Proprietary Marks or the Chicken Guy system.
Furthermore, the franchisee must cancel all advertising for the franchised restaurant that contains the Proprietary Marks, including telephone directory listings, and take any necessary action to cancel filings or registrations for the franchised restaurant that contain any Proprietary Marks. This ensures that there is no lingering association between the franchisee's operations and the Chicken Guy brand after the agreement concludes. The franchisee must also provide evidence of compliance with these obligations to Chicken Guy within 30 days after the termination or expiration date.