Who owns the goodwill associated with the Proprietary Marks for a Closet Storage Concepts franchise?

According to Closet Storage Concepts's 2025 Franchise Disclosure Document, the rights to all Proprietary Marks are exclusively owned by the franchisor, its parents, or affiliates. This means that while franchisees are granted the right to use these marks to operate their Closet Storage Concepts business, the actual ownership and goodwill associated with the marks remain with Closet Storage Concepts.

For a prospective franchisee, this is a standard arrangement in franchising. It means that the brand recognition and reputation built through the use of the Proprietary Marks ultimately benefit Closet Storage Concepts. The franchisee is essentially licensing the use of these marks and contributing to their value through their operation of the franchise.

Upon termination of the franchise agreement, the franchisee loses the right to use these Proprietary Marks. This underscores that the goodwill generated during the franchise term accrues to the franchisor, not the franchisee. Therefore, a franchisee cannot continue to operate under the same brand or marks after the agreement ends.