What rights does a Counselor Realty franchisee have to the marks?
Counselor_Realty Franchise · 2025 FDDAnswer from 2025 FDD Document
knowledgments. This Agreement is subject to the following conditions:
(a) The Business shall offer and provide only the services, and be identified only by Marks, we authorize;
(b) The Marks are our exclusive and valuable property. You have no right, ownership or other interest in or to any of the Marks except the qualified license to use them in strict conformity with this Agreement;
(c) We may change the System and the Marks periodically, and when we do, you must promptly conform the Business to the revised requirements, at your cost;
(d) You shall not directly or indirectly sublicense, delegate or transfer any of the rights licensed by this Agreement except in accordance with Article 9;
(e) We and our affiliates may conduct various business activities, including residential and commercial real estate brokerage businesses; and
(f) You acknowledge that the System was developed by us at considerable expense and investment and that your operation of a "Counselor" franchise is possible only with our assistance and ongoing advisory services. You agree that the disclosure or unauthorized or improper use of the System may cause Counselor or other franchisees irreparable harm, and you agree not to engage in such practices.
3. TERM.
- 3.1 Term. The initial term of this Agreement begins on the Effective Date of this Agreement and ends five years from the Effective Date.
- 3.2 Successor Franchise.
Source: Item 22 — CONTRACTS (FDD page 32)
What This Means (2025 FDD)
According to Counselor Realty's 2025 Franchise Disclosure Document, franchisees are granted a qualified license to use Counselor Realty's trademarks (the "Marks") in strict accordance with the franchise agreement. However, franchisees do not gain any ownership or other interest in the Marks themselves, as they remain the exclusive property of Counselor Realty. Franchisees can only use the Marks to offer and provide services that Counselor Realty authorizes.
Counselor Realty retains the right to change the System and the Marks periodically, and franchisees are obligated to adapt their business to these revisions at their own expense. Franchisees are prohibited from sublicensing, delegating, or transferring any rights related to the Marks, except as explicitly permitted within the franchise agreement. Upon termination or expiration of the franchise agreement, the franchisee’s right to use the Marks immediately reverts to Counselor Realty, and the franchisee must cease all use of the Marks and any confusingly similar names or marks, including domain names.
The franchisee may not use the Marks as part of their corporate or business name without Counselor Realty's explicit consent. All use of the Marks by the franchisee benefits Counselor Realty, and the franchisee is prohibited from contesting Counselor Realty's ownership or registration of the Marks. Franchisees must reproduce and use the Marks only in the precise manner, colors, and form prescribed by Counselor Realty, and only in association with authorized products and services. Counselor Realty also reserves the right to collect fees for rights licensed or services provided to others.