What advertising must a Chicken Guy franchisee cancel upon termination or expiration of the franchise agreement?
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.
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, the franchisee must cancel all advertising for the Franchised Restaurant that contains the Proprietary Marks. This includes canceling telephone directory listings. This obligation is part of the broader requirement to discontinue all use of Chicken Guy's Proprietary Marks and trade secrets.
This provision ensures that the franchisee does not continue to benefit from the Chicken Guy brand and system after the agreement ends. It protects Chicken Guy's brand identity and prevents potential confusion among customers. The franchisee must also remove the Proprietary Marks from the restaurant location, clothing, signs, materials, vehicles, and other items used in the operation.
Furthermore, the franchisee must cease using any websites or electronic identifiers associated with the Proprietary Marks. The franchisee is also required to take any necessary action to cancel filings or registrations for the Franchised Restaurant that contain any Proprietary Marks. These measures are designed to completely separate the former franchisee from the Chicken Guy system, maintaining the integrity of the brand for ongoing and future franchisees.