What information about each owner must a Cinch I.T. franchisee provide?
Cinch_I_T Franchise · 2024 FDDAnswer from 2024 FDD Document
- (b) You agree to promptly disclose to Us all Innovations, whether or not protectable intellectual property, and whether created by or for You or Your Owners or employees.
All Innovations will be deemed Our sole and exclusive property and works made-for-hire for Us.
We have the right to incorporate Innovations into the System and may use them and may authorize You and others to use them in the operation of CINCH I.T. businesses.
Innovations will then also constitute Confidential Information.
We will disclose to You Innovations that are made a part of the System in this manner.
To the extent any Innovation does not qualify as a work made-for-hire for Us, by this paragraph You assign ownership of that Innovation, and all intellectual property and other rights to the Innovation, to Us and agree to sign and deliver such instruments and documents, provide such assistance and perform such other acts as We periodically designate in order for Us or Our designee to obtain exclusive rights in such Innovations.
We will have no obligation to make any lump sum or other payments to You or any other person with respect to any such Innovations.
You will not use, nor will You allow any other person to use, any such Innovations, whether in connection with the Franchised Business or otherwise, without obtaining Our prior written approval.
You also agree that if You develop any new trademarks, service marks, trade names and trade symbols, trade dress, signs, slogans, associated logos, designs, e-marks,
copyrights, emblems, concepts, processes or improvements in the operation or promotion of the Franchised Business, We will immediately become sole owner and licensor.
Source: Item 23 — RECEIPTS (FDD pages 60–269)
What This Means (2024 FDD)
According to Cinch I.T.'s 2024 Franchise Disclosure Document, franchisees must promptly disclose all Innovations, whether or not they are protectable intellectual property, and whether they were created by or for the franchisee, their owners, or employees. These Innovations become the sole and exclusive property of Cinch I.T. and are considered works made for hire. Cinch I.T. has the right to incorporate these Innovations into their system and authorize franchisees and others to use them in the operation of Cinch I.T. businesses.
To the extent that any Innovation does not qualify as a work made-for-hire, the franchisee assigns ownership of that Innovation, including all intellectual property and other rights, to Cinch I.T.. The franchisee agrees to sign and deliver any necessary documents and provide assistance to ensure Cinch I.T. obtains exclusive rights to such Innovations. Cinch I.T. is not obligated to provide any payment or compensation to the franchisee or any other person with respect to these Innovations.
Franchisees are prohibited from using or allowing others to use any Innovations without prior written approval from Cinch I.T., whether in connection with the franchised business or otherwise. Additionally, if a franchisee develops any new trademarks, service marks, trade names, trade symbols, trade dress, signs, slogans, associated logos, designs, e-marks, copyrights, emblems, concepts, processes, or improvements in the operation or promotion of the franchised business, Cinch I.T. immediately becomes the sole owner and licensor.