What should a Chicken Guy franchisee do with advertising for the Franchised Restaurant that contains the Proprietary Marks upon termination or expiration of the 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 the 2025 Chicken Guy Franchise Disclosure Document, upon termination or expiration of the franchise agreement, a franchisee must cease all use of Chicken Guy's Proprietary Marks. This includes canceling all advertising for the Franchised Restaurant that contains the Proprietary Marks, including telephone directory listings.
This requirement ensures that the franchisee no longer represents or benefits from the Chicken Guy brand after the agreement ends. It protects Chicken Guy's brand identity and prevents potential confusion among customers. The franchisee must take immediate action to remove all traces of the brand from their advertising and promotional materials.
In practical terms, a franchisee needs to be prepared to quickly and completely rebrand their business if the franchise agreement is terminated or expires. This includes not only physical signage and restaurant appearance but also all forms of advertising, both online and offline. Failure to comply with these requirements could result in legal action from Chicken Guy to protect its brand and trademarks.