factual

What rights constitute the 'Franchisee's Interest' regarding Internet presence for a Cinnaholic franchise?

Cinnaholic Franchise · 2025 FDD

Answer from 2025 FDD Document

and covenants contained therein, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows:

1. DEFINITIONS

All terms used but not otherwise defined in this Internet Listing Agreement shall have the meanings set forth in the Franchise Agreement. "Termination" of the Franchise Agreement shall include, but shall not be limited to, the voluntary termination, involuntary termination, or natural expiration thereof.

2. TRANSFER; APPOINTMENT

  • 2.1 Interest in Internet Web Sites and Listings. Franchisee may acquire (whether in accordance with or in violation of Section 15.2 of the Franchise Agreement) during the term of the Franchise Agreement, certain right, title, and interest in and to certain domain names, hypertext markup language, uniform resource locator addresses, and access to corresponding Internet web sites, and the right to hyperlink to certain web sites and listings on various Internet search engines (collectively, the "Internet Web Sites and Listings") related to the Bakery or the Marks (all of which right, title, and interest is referred to herein as "Franchisee's Interest").

  • 2.2 Transfer. On Termination of the Franchise Agreement, or on periodic request of Franchisor, Franchisee will immediately direct all Internet Service Providers, domain name registries, Internet search engines, and other listing agencies (collectively, the "Internet Companies") with which Franchisee has Internet Web Sites and Listings: (i) to transfer all of Franchisee's Interest in such Internet Web Sites and Listings to Franchisor; and (ii) to execute such documents and take such actions as may be necessary to effectuate such transfer. In the event Franchisor does not desire to accept any or all such Internet Web Sites and Listings, Franchisee will immediately direct the Internet Companies to terminate such Internet Web Sites and Listings or will take such other actions with respect to the Internet Web Sites and Listings as Franchisor directs.

  • 2.3 Appointment; Power of Attorney. Franchisee hereby constitutes and appoints Franchisor and any officer or agent of Franchisor, for Franchisor's benefit under the Franchise Agreement and this Internet Listing Agreement or otherwise, with full power of substitution, as Franchisee's true and lawful attorney-in-fact with full power and authority in Franchisee's place and stead, and in Franchisee's name or the name of any affiliated person or affiliated company of Franchisee, to take any and all appropriate action and to execute and deliver any and all documents that may be necessary or desirable to accomplish the purposes of this Internet Listing Agreement. Franchisee further agrees that this appointment constitutes a power coupled with an interest and is irrevocable until Franchisee has satisfied all of its obligations under the Franchise Agreement and any and all other agreements to which Franchisee and any of its affiliates on the one hand, and Franchisor and any of its affiliates on the other, are parties, including without limitation this Internet Listing Agreement. Without limiting the generality of the foregoing, Franchisee hereby grants to Franchisor the power and right to do the following:

  • (i) Direct the Internet Companies to transfer all Franchisee's Interest in and to the Internet Web Sites and Listings to Franchisor;

  • (ii) Direct the Internet Companies to terminate any or all of the Internet Web Sites and Listings;

Source: Item 23 — RECEIPT (FDD pages 62–269)

What This Means (2025 FDD)

According to Cinnaholic's 2025 Franchise Disclosure Document, the 'Franchisee's Interest' in Internet presence encompasses specific rights related to domain names, hypertext markup language, uniform resource locator addresses, access to corresponding Internet web sites, and the right to hyperlink to certain web sites and listings on various Internet search engines related to the Cinnaholic bakery or its trademarks. These elements collectively form the franchisee's online presence and identity.

Upon termination of the Franchise Agreement or at Cinnaholic's request, the franchisee is obligated to transfer all rights and interests in these Internet Web Sites and Listings to Cinnaholic. This includes directing Internet Service Providers, domain name registries, and search engines to transfer the franchisee's interest and execute necessary documents to complete the transfer. Cinnaholic also holds the power of attorney to act on behalf of the franchisee to ensure this transfer occurs, including directing Internet companies to transfer or terminate the web sites and listings and executing necessary documents.

Cinnaholic retains the right to decide whether to accept these Internet Web Sites and Listings. If Cinnaholic does not want them, the franchisee must terminate the sites or take other actions as directed by Cinnaholic. After the transfer of the franchisee's interest in the Internet Web Sites and Listings to Cinnaholic, the franchisee has no further interest in or obligations under such Internet Web Sites and Listings, although they remain liable for any outstanding payments to Internet Companies incurred before the transfer.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.