Must the de-identification of the Chocolate Fish Coffee location be to the satisfaction of Chocolate Fish Franchising?
Chocolate_Fish_Coffee Franchise · 2024 FDDAnswer from 2024 FDD Document
- 14.4 Remove Identification. Within 30 days after termination or expiration, Franchisee shall at its own expense "de-identify" the Location so that it no longer contains the Marks, signage, or any trade dress of a Chocolate Fish Coffee business, to the reasonable satisfaction of Chocolate Fish Franchising.
Franchisee shall comply with any reasonable instructions and procedures of Chocolate Fish Franchising for de-identification.
If Franchisee fails to do so within 30 days after this Agreement expires or is terminated, Chocolate Fish Franchising may enter the Location to remove the Marks and de-identify the Location.
In this event, Chocolate Fish Franchising will not be charged with trespass nor be accountable or required to pay for any assets removed or altered, or for any damage caused by Chocolate Fish Franchising.
Source: Item 23 — RECEIPTS (FDD pages 41–119)
What This Means (2024 FDD)
According to Chocolate Fish Coffee's 2024 Franchise Disclosure Document, if a franchise agreement is terminated or expires, the franchisee is responsible for de-identifying the location. This means the franchisee must remove all Chocolate Fish Coffee marks, signage, and trade dress from the location within 30 days of the termination or expiration.
The de-identification must be completed to the reasonable satisfaction of Chocolate Fish Franchising. The franchisee must also comply with any reasonable instructions and procedures provided by Chocolate Fish Franchising for de-identification. This gives Chocolate Fish Coffee some control over how the location is altered to ensure it no longer resembles a Chocolate Fish Coffee business.
If the franchisee fails to de-identify the location within the 30-day period, Chocolate Fish Franchising has the right to enter the location and remove the marks and de-identify the location themselves. In this case, the franchisee will not be able to hold Chocolate Fish Franchising responsible for trespass or any damages or costs associated with the removal or alteration of assets. This clause protects Chocolate Fish Coffee from liability if they have to step in to de-identify a former franchise location.