Does Cilantro Taco Grill have any pending patent applications material to the franchise?
Cilantro_Taco_Grill Franchise · 2024 FDDAnswer from 2024 FDD Document
We expect and intend to work with our affiliate, CTG IP LLC to file all required affidavits with the USPTO for the Principal Marks above, as and when they become due and have filed all required affidavits to date. Presently, there are no agreements in effect that significantly limit our rights to use or license the use of the Principal Marks listed in this Item in a manner material to the franchise – other than our license agreement with CTG IP LLC. Our license agreement with CTG IP LLC ("Licensor") gives us broad rights to use the Marks in connection with the operation of the Cilantro Taco Grill franchise System, and to sublicense to franchisees the right to use the Marks, in strict accordance with our Franchise Agreement. The term of our license agreement is for 5 years, commencing May 23, 2023, and will automatically renew every 5 years. The license agreement will terminate only upon (i) our bankruptcy or (ii) our election to terminate by providing 180 days' prior notice to the Licensor. A termination of the license agreement will have no effect on sublicenses granted to franchisees prior to the date of termination. We are not aware of any infringing use of our primary Principal Marks that could materially affect your use.
Source: Item 14 — PATENTS, COPYRIGHTS AND PROPRIETARY INFORMATION (FDD pages 36–37)
What This Means (2024 FDD)
Based on the 2024 Franchise Disclosure Document, the excerpts provided do not contain information regarding any pending patent applications for Cilantro Taco Grill that would be material to the franchise. The documents do discuss trademarks and intellectual property, noting that CTG IP LLC owns certain marks and licenses them to CTG Franchise LLC.
Item 13 discusses trademarks, stating that Cilantro Taco Grill expects to file all required affidavits with the USPTO for the Principal Marks. It also states that there are no agreements that significantly limit their rights to use or license the Principal Marks, other than the license agreement with CTG IP LLC.
To fully answer this question, a prospective franchisee should directly ask the franchisor, Cilantro Taco Grill, about any pending patent applications and whether these applications could materially affect the franchise.