Who owns the trademarks described in Item 13 for Chocolate Bash franchises?
Chocolate_Bash Franchise · 2024 FDDAnswer from 2024 FDD Document
a trademark.
Agreements
Albasha, LLC, our affiliate, owns the trademarks described in this Item. Under an Intercompany License Agreement between us and Albasha, LLC, we have been granted the exclusive right to sublicense the trademarks to franchisees throughout the United States. The agreement is of perpetual duration. It may be modified only by mutual consent of the parties. It may be canceled by our affiliate only if (1) we materially misuse the trademarks and fail to correct the misuse, or (2) we discontinue commercial use of the trademarks for a continuous period of more than one year. The Intercompany License Agreement specifies that if it is ever terminated, your franchise rights will remain unaffected.
Protection of Rights
We protect your right to use the principal trademarks listed in this Item, and we protect you against claims of infringement or unfair competition arising out of your use of the trademarks, to the extent described in this section.
The franchise agreement obligates you to notify us of the use of, or claims of rights to, a trademark identical to or confusingly similar to a trademark licensed to you. The franchise agreement does not require us to take affirmative action when notified of these uses or claims. We have the right to control any administrative proceedings or litigation involving a trademark licensed by us to you.
If you use our trademarks in accordance with the franchise agreement, then (i) we will defend you (at our expense) against any legal action by a third party alleging infringement by your use of the trademark, and (ii) we will indemnify you for expenses and damages if the legal action is resolved unfavorably to you.
Under the franchise agreement, we may require you to modify or discontinue using a trademark, at your expense.
Superior Prior Rights and Infringing Uses
We do not know of either superior prior rights or infringing uses that could materially affect your use of the principal trademarks.
Item 14 PATENTS, COPYRIGHTS AND PROPRIETARY INFORMATION
Patents
We do not own rights in, or licenses to, patents that are material to the franchise. We do not have any pending patent applications.
Copyrights
All of our original works of authorship fixed in a tangible medium of expression are automatically protected under the U.S.
Source: Item 13 — TRADEMARKS (FDD pages 26–28)
What This Means (2024 FDD)
According to Chocolate Bash's 2024 Franchise Disclosure Document, the trademarks described in Item 13 are owned by Albasha, LLC, which is an affiliate of Chocolate Bash. Chocolate Bash has been granted the exclusive right to sublicense these trademarks to franchisees throughout the United States through an Intercompany License Agreement with Albasha, LLC. This agreement is perpetual and can only be modified with the mutual consent of both parties. Albasha, LLC can cancel the agreement if Chocolate Bash misuses the trademarks and fails to correct the misuse, or if Chocolate Bash discontinues commercial use of the trademarks for more than one year. However, the agreement specifies that termination of the Intercompany License Agreement will not affect the franchisee's rights.
Chocolate Bash is responsible for protecting the franchisee's right to use the principal trademarks and defending against claims of infringement or unfair competition. Franchisees are obligated to notify Chocolate Bash of any identical or confusingly similar trademark use or claims. Chocolate Bash has the right to control any administrative proceedings or litigation involving a licensed trademark. If a franchisee uses the trademarks according to the franchise agreement, Chocolate Bash will defend the franchisee against legal action alleging infringement and indemnify them for expenses and damages if the legal action is resolved unfavorably.
Chocolate Bash may require franchisees to modify or discontinue using a trademark at the franchisee's expense. The principal trademark that Chocolate Bash licenses to franchisees is owned by Albasha, LLC and is registered on the Principal Register of the United States Patent and Trademark Office. The FDD lists the trademark 'Chocolate Bash' with a registration date of July 11, 2017, registration number 5240379, and a renewal date of July 11, 2027, as well as a trademark with a registration date of July 18, 2019, registration number 5244703, and a renewal date of July 18, 2025.
Prospective franchisees should understand that while they are granted the right to use the Chocolate Bash trademarks, the ultimate ownership and control reside with Albasha, LLC. The franchisee's use of these trademarks is subject to the terms of the franchise agreement and the Intercompany License Agreement. Franchisees bear the risk of needing to modify or discontinue using a trademark at their own expense if required by Chocolate Bash. The trademarks are registered with the United States Patent and Trademark Office, providing a level of legal protection, but franchisees should still be aware of the potential for disputes or required changes.