Does Circle K have the right to control litigation related to patents and copyrights used in the Circle K franchise?
Circle_K Franchise · 2025 FDDAnswer from 2025 FDD Document
You must notify us immediately if you learn about an infringement of or challenge to your use of our Marks. We have the right to take whatever action we believe is, in our judgment, appropriate. TMC and our affiliates have the right to manage and resolve disputes with third parties concerning the Marks. Except as noted below, we are not required to defend you against any claim opposing your use of the Marks. You may tender the defense of any trademark action to us within 7 days after you receive it. You can hire your own attorney to defend you in this action, but you must pay your own legal expenses. If any claim relates just to your use of the Marks in complete compliance with your Convenience Store Franchise Agreement, Motor Fuel Agreement and/or Branding Agreement, we will defend you against any such claim and will protect, indemnify, and hold you harmless from any loss from this claim. You may not contest our rights to the Marks, trade secrets, or our proprietary and distinctive business system.
Source: Item 14 — PATENTS, COPYRIGHTS AND PROPRIETARY INFORMATION (FDD pages 76–77)
What This Means (2025 FDD)
According to Circle K's 2025 Franchise Disclosure Document, Circle K and its affiliates have the right to manage and resolve disputes with third parties concerning the Marks. If a franchisee learns about an infringement of or challenge to their use of Circle K's Marks, they must notify Circle K immediately, and Circle K has the right to take whatever action it deems appropriate.
Circle K is generally not required to defend the franchisee against any claim opposing their use of the Marks. However, the franchisee can tender the defense of any trademark action to Circle K within 7 days of receiving it. The franchisee can hire their own attorney to defend them in this action, but they must pay their own legal expenses.
If any claim relates just to the franchisee's use of the Marks in complete compliance with their Convenience Store Franchise Agreement, Motor Fuel Agreement and/or Branding Agreement, Circle K will defend the franchisee against any such claim and will protect, indemnify, and hold them harmless from any loss from this claim. The franchisee may not contest Circle K's rights to the Marks, trade secrets, or proprietary and distinctive business system.