Is a Closet Storage Concepts franchisee required to use the Proprietary Marks?
Closet_Storage_Concepts Franchise · 2025 FDDAnswer from 2025 FDD Document
luable consideration, the receipt and sufficiency of which is acknowledged, Franchisor and Franchisee agree as follows:
1. GRANT OF FRANCHISE AND LOCATION
- 1.1 Grant and Acceptance. Franchisor grants to Franchisee, and Franchisee accepts, all subject to the terms of this Agreement: a franchise to establish and operate one Closet & Storage Concepts business using the Closet & Storage Concepts System and the Proprietary Marks pursuant to this Agreement (the "Franchised Business"). Franchisee shall use the Proprietary Marks, participate in the promotional, advertising and marketing programs that are made available to Franchisee, and have access to certain proprietary trade secrets, marketing and business expertise of Franchisor, as they may be modified from time to time, in connection with the Franchised Business. If Franchisor determines that demand justifies it, Franchisee may be permitted to operate a satellite location within the granted Territory pursuant to all terms and conditions of this Agreement, as applicable, unless otherwise expressly indicated.
- 1.2 Approved Location. If the Approved Location is not identified on Exhibit 1 when this Agreement is executed, then Franchisee is responsible for locating a site within the geographic site selection area described on Exhibit 1 (the "Search Area"). The Search Area is delineated for the sole purpose of site selection and does not provide any territorial exclusivity or protection. Franchisee must find a location in the Search Area and submit it to Franchisor for approval as required in this Agreement.
Source: Item 22 — CONTRACTS (FDD page 59)
What This Means (2025 FDD)
According to Closet Storage Concepts' 2025 Franchise Disclosure Document, franchisees are required to use the Proprietary Marks. The franchise agreement states that as part of the franchise grant, the franchisee must operate their Closet & Storage Concepts business using the Closet & Storage Concepts System and the Proprietary Marks.
Closet Storage Concepts requires franchisees to use the Proprietary Marks, and participate in promotional, advertising, and marketing programs. Franchisees must also use the Proprietary Marks in conjunction with the symbols "SM," "TM," or "®," as applicable, to indicate the registered or unregistered status of the marks, as directed by Closet Storage Concepts. However, franchisees cannot use the Proprietary Marks in connection with unauthorized products or services, or in any way not explicitly authorized by Closet Storage Concepts in writing.
Closet Storage Concepts also restricts the franchisee's use of other marks, names, commercial symbols, or logos in connection with the operation of the franchised business. Franchisees also cannot use the Proprietary Marks, or any abbreviation, variation, or other name associated with the Closet & Storage Concepts System as part of any e-mail address, domain name, and/or other identification in any electronic medium, unless authorized by Closet Storage Concepts in writing. These stipulations ensure consistent brand representation and prevent misuse of the Closet Storage Concepts's intellectual property.