What are 'Improvements' defined as in relation to the Corcoran franchise?
Corcoran Franchise · 2025 FDDAnswer from 2025 FDD Document
We have the right to apply for and own trade names, trademarks and service marks relating to Improvements (as defined in Section 14.2 of the Franchise Agreement) and such Improvements will be our property. "Improvements" are defined as any improvements or additions to the System, new trade names, trademarks, service marks or other commercial symbols related to the System or any advertising or promotion ideas related to the System that franchisees conceive or develop. All Improvements must be fully disclosed to us and must have received our written approval prior to use. Any Improvements we approve will be deemed licensed to us on a royalty-free, paid-up, perpetual worldwide license, and may be used by us, our affiliates and our franchisees, as applicable, without any liability to you or obligation to pay you royalties or other compensation (see Section 14.2 of the Franchise Agreement). We will authorize franchisees to use Improvements authorized for use by other franchisees without paying you royalties or similar fees.
Source: Item 13 — TRADEMARKS (FDD pages 59–60)
What This Means (2025 FDD)
According to Corcoran's 2025 Franchise Disclosure Document, "Improvements" are defined as any enhancements or additions to the existing Corcoran system. This includes new trade names, trademarks, service marks, or other commercial symbols related to the system. It also encompasses any advertising or promotional ideas related to the system that franchisees develop.
Corcoran requires franchisees to fully disclose all Improvements they conceive or develop. Prior to using any Improvement, a franchisee must obtain written approval from Corcoran. This ensures that all changes align with the brand's standards and overall strategy.
Any Improvements that Corcoran approves are automatically licensed to them on a royalty-free, paid-up, perpetual, worldwide basis. This means Corcoran, its affiliates, and its other franchisees can use the Improvements without owing any royalties or compensation to the franchisee who initially developed them. Corcoran can authorize other franchisees to use approved Improvements without any obligation to the originating franchisee. This clause ensures Corcoran maintains control over its brand and system while potentially benefiting from franchisee innovations.