What is the reported goodwill value for Christian Brothers Automotive?
Christian_Brothers_Automotive Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchise Agreement (Ver 04-14-2025)
Franchisee: __________
Franchisor: Christian Brothers Automotive Corporation
or Franchisee's use of any of the Marks, and will not represent that it has. Franchisee also
understands and agrees that following the expiration or termination of this Agreement for
whatever reason, it will not attribute any monetary amount to any goodwill associated with
Franchisee's use of the Marks or any other property owned by Franchisor.
5.02 Franchisor's Ownership of Marks. Franchisee agrees that the Marks are the exclusive
property of Franchisor, and Franchisee now asserts no claim and will hereafter assert no
claim to any goodwill, reputation or ownership thereof, and covenants that it will not
contest Franchisor's ownership of the Marks or their validity. Franchisee will not do or
permit any act or thing to be done in derogation of any of the rights of Franchisor in
connection with the Marks, either during the term of this Agreement or thereafter.
Source: Item 23 — RECEIPTS (FDD pages 76–372)
What This Means (2025 FDD)
According to the 2025 Christian Brothers Automotive Franchise Disclosure Document, franchisees understand and agree that following the expiration or termination of their agreement, they will not attribute any monetary amount to any goodwill associated with the franchisee's use of the Marks or any other property owned by Christian Brothers Automotive.
Christian Brothers Automotive retains exclusive ownership of its marks, and franchisees cannot claim any goodwill, reputation, or ownership of these marks. Franchisees agree not to contest Christian Brothers Automotive's ownership or the validity of the marks. This protects Christian Brothers Automotive's brand identity and prevents franchisees from claiming independent value based on the brand's reputation.
This clause ensures that the value and reputation associated with the Christian Brothers Automotive brand remain solely with the franchisor. It prevents franchisees from leveraging the brand's goodwill for their own financial gain after the franchise agreement ends. This is a common practice in franchising to protect the brand's integrity and value.