Does the Crave franchise agreement grant the franchisee the right to use the Marks?
Crave Franchise · 2025 FDDAnswer from 2025 FDD Document
ARTICLE 9 MARKS
9.1 Use of Marks
We grant you the right to use the Marks during the term of this Agreement in accordance with the System and related standards and specifications.
9.2 Ownership of Marks; Limited License
You expressly understand and acknowledge that:
- 9.2.1 We are the owner or the licensee of the owner of all right, title and interest in and to the Marks and the goodwill associated with and symbolized by them. All references herein to our right, title and interest in the Marks shall be deemed to include the owner's right, title and interest in the Marks.
- 9.2.2 Neither you nor any Principalshall take any action that would prejudice or interfere with the validity of our rights with respect to the Marks. Nothing in this Agreement shall give you any right, title, or interest in or to any of the Marks or any service marks, trademarks, trade names, trade dress, logos, copyrights or proprietary materials, except the right to use the Marks and the System in accordance
with the terms and conditions of this Agreement for the operation of the Franchised Business and only at or from its approved location or in approved advertising related to the Franchised Business.
Source: Item 23 — RECEIPTS (FDD pages 63–253)
What This Means (2025 FDD)
According to Crave's 2025 Franchise Disclosure Document, franchisees are granted the right to use Crave's Marks during the term of the Franchise Agreement. This right is explicitly tied to adherence to Crave's System standards and specifications. Crave retains ownership of all rights, titles, and interests in the Marks, including the goodwill associated with them. The franchisee's use of the Marks is limited to the operation of the Franchised Business at its approved location and in approved advertising related to the Franchised Business.
Crave's FDD emphasizes that franchisees cannot take any actions that could harm the validity of Crave's rights to the Marks. The agreement specifies that franchisees do not acquire any ownership or proprietary rights to the Marks beyond the limited license granted for operating the franchise. This ensures that Crave maintains control over its brand and image, while allowing franchisees to benefit from using the established Marks to attract customers.
This arrangement is typical in franchising, where the franchisor licenses its trademarks to franchisees. Crave's approach aligns with this standard practice, balancing the need to protect its brand with the franchisee's need to use the brand to conduct business. Prospective franchisees should carefully review the System standards and specifications to understand the scope and limitations of their right to use the Marks. Franchisees must also adhere to Crave's guidelines for social media and advertising to ensure consistent brand messaging and avoid unauthorized use of the Marks.