Does Craters & Freighters have the right to use the name of a celebrity in promotional efforts?
Craters_Freighters Franchise · 2025 FDDAnswer from 2025 FDD Document
The Marketing Fund will be used exclusively for the purpose of promoting the System. We may expend Marketing Fund monies towards the creation, production, and/or placement of advertising in local, regional, or national media including, but not limited to, broadcast, print, electronic, direct mail, radio, television, or other media), developing promotional materials, and undertaking public relations activities on behalf of the entire System or on behalf of a particular portion of the System. The Marketing Fund may also be used to meet any and all costs of maintaining, administering, directing, and preparing marketing, advertising, and promotional efforts and programs including, but not limited to: direct mail advertising; local, regional, and national promotions; call centers; market research; public relations activities; developing and maintaining Franchisor's Website and franchisee geosites (including your Geosite); employing marketing, advertising, and public relations agencies (including the payment of commissions); purchasing promotional items; attending trade shows; providing other marketing materials and services to franchised businesses operating under the System; and other marketing, advertising, and promotional activities.
Source: Item 18 — PUBLIC FIGURES (FDD page 44)
What This Means (2025 FDD)
Based on the 2025 Franchise Disclosure Document, Craters & Freighters retains the right to control marketing and promotional efforts for the entire franchise system. Specifically, Craters & Freighters manages the Marketing Fund, which can be used for various promotional activities at the local, regional, or national level.
The FDD states that Craters & Freighters has the authority to create advertising in various media, develop promotional materials, and engage in public relations activities. These activities are intended to benefit the entire Craters & Freighters system. The Marketing Fund can cover the costs of these efforts, including employing advertising agencies, purchasing promotional items, and attending trade shows.
While the FDD does not explicitly state whether Craters & Freighters can use celebrity names in promotional efforts, it does state that the Marketing Fund can be used for public relations activities and creating promotional materials. Therefore, it can be inferred that Craters & Freighters has the right to use celebrity names in promotional efforts, as long as it benefits the entire Craters & Freighters system. However, the franchisee should seek clarification from the franchisor on the specific policies regarding the use of celebrity endorsements in advertising and promotional materials to ensure compliance and avoid potential legal issues.