With whom does a Cicis franchisee have a contractual relationship according to the franchise agreement?
Cicis Franchise · 2025 FDDAnswer from 2025 FDD Document
You also acknowledge that you will have a contractual relationship only with us and may look only to us to perform under this Agreement. None of our Affiliates is a party to this Agreement and has no obligations under it. However, our Affiliate who is the owner of the Marks, you and we agree that such Affiliate will be a third-party beneficiary of those provisions in this Agreement relating to use of the Marks, with the independent right to enforce such provisions against you and to seek damages from you for your failure to comply with those provisions.
Source: Item 23 — RECEIPTS (FDD pages 65–263)
What This Means (2025 FDD)
According to Cicis's 2025 Franchise Disclosure Document, a franchisee has a contractual relationship only with Cicis. The FDD specifies that Cicis's affiliates are not party to the franchise agreement and have no obligations under it. However, the affiliate who owns the trademarks is a third-party beneficiary of the provisions relating to the use of the marks and has the right to enforce those provisions.
This means that while the franchisee interacts directly with Cicis for all contractual matters, another entity (the trademark owner) has a limited right to enforce trademark-related aspects of the agreement. This is a fairly common arrangement in franchising, where a separate entity might hold the intellectual property rights.
Prospective franchisees should be aware that while Cicis is their primary contact and the party responsible for fulfilling the franchise agreement, compliance with trademark usage is also subject to oversight and potential enforcement by Cicis's affiliate. This highlights the importance of adhering to Cicis's brand standards and trademark guidelines to avoid potential disputes with the third-party beneficiary.