If City Wide decides to modify or discontinue the use of any of the City Wide Marks, what is the franchisee's obligation?
City_Wide Franchise · 2025 FDDAnswer from 2025 FDD Document
- 5.4 If it becomes advisable at any time, at CITY WIDE's sole and absolute right, for CITY WIDE and/or Franchisee to modify or discontinue the use of any of the Marks, and/or use one or more additional or substitute trade names, trademarks, service marks, or other commercial symbols, Franchisee will comply with CITY WIDE's directions within a reasonable time after Franchisee receives notice from CITY WIDE, and CITY WIDE will have no liability or obligation whatsoever to Franchisee concerning CITY WIDE's modification or discontinuance of any of the Marks.
Source: Item 22 — CONTRACTS (FDD page 65)
What This Means (2025 FDD)
According to City Wide's 2025 Franchise Disclosure Document, if City Wide decides to modify or discontinue the use of any of the Marks, franchisees must comply with City Wide's directions within a reasonable time after receiving notice. This includes using additional or substitute trade names, trademarks, service marks, or other commercial symbols as directed by City Wide.
This provision gives City Wide broad discretion to change its branding and requires franchisees to adapt accordingly. While the franchisee must comply within a reasonable time, City Wide assumes no liability or obligation to the franchisee related to these changes. This could involve costs for the franchisee to update signage, marketing materials, and other branded items.
For a prospective City Wide franchisee, this highlights the importance of understanding that the brand's identity can evolve, and franchisees must be prepared to invest in rebranding efforts as directed by City Wide. It would be prudent to inquire about the potential frequency and costs associated with such changes during the due diligence process.