After the termination or expiration of a Craters & Freighters franchise, who has the option to determine a reasonable period for the franchisee to discontinue use of marks?

According to the 2025 Craters & Freighters Franchise Disclosure Document, upon termination or expiration of the franchise agreement, the franchisee must immediately discontinue using Craters & Freighters' marks, including trademarks, service marks, and trade names. The franchisee must also stop doing business in any manner that might suggest to the public that they are still operating a Craters & Freighters franchised business.

Craters & Freighters, at its option, can determine a reasonable period after the termination or expiration for the franchisee to destroy or return any physical or electronic copies of items bearing the company's marks. This means that while the franchisee is obligated to immediately cease using the marks, the franchisor has the discretion to decide how quickly the franchisee must dispose of branded materials.

This clause protects Craters & Freighters' brand identity and prevents former franchisees from potentially misrepresenting themselves as part of the Craters & Freighters system after their agreement ends. For a prospective franchisee, this highlights the importance of understanding the terms of termination and the obligations regarding the use and disposal of Craters & Freighters' intellectual property.