factual

Is the Crave franchisee's right to use the Marks limited to the term of the Franchise Agreement?

Crave Franchise · 2025 FDD

Answer from 2025 FDD Document

stem. If you participate on an advisory council, you will pay any expenses you incur related to your participation, such as travel and living expenses to attend council meetings.

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.

  • 9.2.3 You understand and agree that the limited license to use the Marks granted hereby applies only to such Marks as are designated by us, and which are not subsequently designated by us as being withdrawn from use, together with those which may hereafter be designated by us in writing.

Source: Item 23 — RECEIPTS (FDD pages 63–253)

What This Means (2025 FDD)

According to the 2025 Crave Franchise Disclosure Document, the franchisee's right to use the Marks is limited to the term of the Franchise Agreement. Crave grants the franchisee the right to use the Marks during the term of the agreement, as long as the franchisee follows the standards and specifications of the Crave system.

Crave retains ownership of all rights and interests in the Marks, including the associated goodwill. The franchisee's use of the Marks is a limited license, meaning they cannot take any actions that could harm the validity of Crave's rights to the Marks. The franchisee gains no ownership or equitable rights to any of the Marks, except for the right to use them according to the agreement for operating the franchised business at the approved location and in approved advertising.

This limited license applies only to Marks designated by Crave and not subsequently withdrawn. The franchisee must not represent that they have acquired any ownership rights in the Marks through their use of them. This ensures that Crave maintains control over its brand and image, while allowing the franchisee to benefit from using the Marks to operate their business during the franchise term. Upon termination of the franchise agreement, the franchisee's right to use the Marks ceases.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.