What action must a franchisee take if they learn about an infringement of Cilantro Taco Grill's copyrights?
Cilantro_Taco_Grill Franchise · 2024 FDDAnswer from 2024 FDD Document
You must notify us immediately when you learn about an infringement of or challenge to your use of the Principal Marks or other Marks. Our affiliate and we will take any action we think appropriate and, if you have given us timely notice and are in full compliance with the Franchise Agreement, we will indemnify you for all expenses and damages arising from any claim challenging your authorized use of the Principal Marks or other Marks. Our affiliate and we have the right to control any administrative proceedings or litigation involving the Principal Marks or other Marks licensed by us to you. You must cooperate fully with our affiliate and us in defending and/or settling the litigation.
Source: Item 14 — PATENTS, COPYRIGHTS AND PROPRIETARY INFORMATION (FDD pages 36–37)
What This Means (2024 FDD)
According to Cilantro Taco Grill's 2024 Franchise Disclosure Document, a franchisee must immediately notify Cilantro Taco Grill when they learn about any infringement or challenge to their use of the Principal Marks or other Marks. Following notification, Cilantro Taco Grill and its affiliate, CTG IP LLC, will determine the appropriate action to take.
If the franchisee provides timely notice of the infringement or challenge and is in full compliance with the Franchise Agreement, Cilantro Taco Grill will indemnify the franchisee for all expenses and damages arising from any claim challenging the franchisee's authorized use of the Principal Marks or other Marks. Cilantro Taco Grill and its affiliate also retain the right to control any administrative proceedings or litigation involving the Marks licensed to the franchisee.
The franchisee is obligated to fully cooperate with Cilantro Taco Grill and its affiliate in defending and/or settling any litigation related to the infringement or challenge. This cooperation is essential to protecting the brand's intellectual property and ensuring consistent legal strategies are employed. Franchisees should maintain thorough records of any potential infringements and communications with Cilantro Taco Grill regarding such matters.