What is the Circle K franchisee required to do upon termination, nonrenewal, or expiration of the agreement regarding the use of Proprietary Marks?
Circle_K Franchise · 2025 FDDAnswer from 2025 FDD Document
All use by Purchaser of the Proprietary Marks hereunder must comply with the trademark requirements and related terms and conditions set forth in the Franchise Agreement. Without limiting the foregoing, all items containing the Proprietary Marks (including all signage) must be purchased from Seller's approved suppliers. Seller will provide Purchaser with a list of approved suppliers, which list Seller may modify from time to time. Upon termination, nonrenewal or expiration of this Agreement or at any time upon demand by Seller, in accordance with the terms set forth in the Franchise Agreement, Purchaser shall discontinue all use of Proprietary Marks.
Source: Item 23 — RECEIPTS (FDD pages 100–359)
What This Means (2025 FDD)
According to Circle K's 2025 Franchise Disclosure Document, upon termination, nonrenewal, or expiration of the Circle K Branding Agreement, the franchisee, referred to as the Purchaser in this context, must discontinue all use of Circle K's Proprietary Marks. These marks include trademarks, service marks, trade names, brand names, trade dress, logos, color patterns, color schemes, design schemes, insignia, images, and other brand identifications.
This requirement ensures that franchisees no longer have the right to represent themselves as being affiliated with the Circle K brand after the agreement ends. This protects Circle K's brand integrity and prevents potential consumer confusion.
In practical terms, a franchisee must remove all Circle K signage, branding, and related materials from the premises. They must also cease using any marketing materials or advertising that feature the Circle K brand. This obligation is consistent with standard franchising practices, where the right to use a franchisor's trademarks is contingent upon a valid and active franchise agreement.
The Franchise Agreement dictates the specific terms for discontinuing the use of Proprietary Marks, so franchisees should carefully review that document to understand their obligations fully. Failure to comply with these post-termination requirements could result in legal action by Circle K to protect its brand and intellectual property.