factual

What constitutes the 'Marks' that a Circle K franchisee is granted the right to use?

Circle_K Franchise · 2025 FDD

Answer from 2025 FDD Document

2.1 Non-Exclusive License; Franchised Location; Store Opening. Subject to the terms and conditions herein, Franchisor hereby grants to Franchisee, and Franchisee hereby accepts, a non-exclusive license to establish and operate, during the Term, a Circle K Store, in conformity with the Business System, using the Marks (the "License"), at the location described in the Data Sheet attached hereto as Exhibit 1 (the "Franchised Location"). Franchisee agrees that the Store shall be constructed in accordance with the requirements of this Agreement and should be ready

to open within: (i) 1 year after the Effective Date, if the Store is a Conversion Store; or (ii) 2 years after the Effective Date, if the Store is a New Store. A failure to open a Conversion Store within one year or a New Store within two years will entitle Franchisor to immediately terminate this Agreement without Franchisor incurring any liability for such termination. If this Agreement is so terminated, Franchisee must comply with all post-termination obligations set forth herein, including but not limited to the payment of Liquidated Damages.

  • 2.2 Franchisor's Reservation of Rights.

Except for the limited License granted to Franchisee hereunder, all other rights related to the Business System and the Marks not specifically granted to Franchisee hereunder are expressly reserved by Franchisor and its Affiliates.

Source: Item 22 — CONTRACTS (FDD page 100)

What This Means (2025 FDD)

According to the 2025 Circle K Franchise Disclosure Document, a franchisee is granted a non-exclusive license to use the 'Marks' associated with the Circle K Business System. These 'Marks' are used to operate a Circle K store in line with the franchise agreement. The franchisee must operate under the name "Circle K" and cannot alter this name or use other marks without prior written consent from Circle K. The franchisee's right to use the Marks is limited and nonexclusive, applicable only to the specific franchised location.

Circle K retains ownership of all information related to the Marks and the Business System, including any improvements made by the franchisee. The franchisee's use of the Marks must comply with Circle K's branding, image, and appearance standards as detailed in the Business System Manuals. The franchisee is prohibited from using any other names, trademarks, or trade names that are not authorized by Circle K. Unauthorized use of the Marks or the Business System constitutes an infringement of Circle K's rights and a material breach of the franchise agreement.

Circle K has the right to modify or discontinue any Marks and substitute different trade names, service marks, trademarks, logos, designs, and commercial symbols. The franchisee is obligated to implement these changes at their own expense upon Circle K's written instructions. The franchisee must also indicate on business materials that they are a "Circle K®" franchisee and display signs at the franchised location indicating independent ownership as a franchised Circle K store. Franchisees must adhere to ethical business practices and avoid any conduct that could negatively impact the reputation and goodwill associated with the Marks.

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.