What action must a Crawlspace Medic franchisee take if they learn of a trademark infringement?
Crawlspace_Medic Franchise · 2024 FDDAnswer from 2024 FDD Document
You must notify us immediately when you learn about an infringement of or challenge to your use of the Principal Mark or other Marks. Licensor and we will take any action we think appropriate and, if you have given us timely notice and are in full compliance with the Franchise Agreement, we will indemnify you for all expenses and damages arising from any claim challenging your authorized use of the Principal Mark or other Marks. Licensor and we have the right to control any administrative proceedings or litigation involving the Principal Mark or other Mark licensed by us to you. You must cooperate fully with Licensor and us in defending and/or settling the litigation.
We reserve the right to substitute different Marks if we can no longer use the current Marks, or if we determine that substitution of different Marks will be beneficial to the System. In such event, we may require you, at your expense, to modify or stop using any Mark, including the Principal Mark, or to use one or more additional or substitute Marks.
You must not directly or indirectly contest Licensor's right, or our right, to the Principal Mark or other Marks.
Source: Item 13 — TRADEMARKS (FDD pages 30–32)
What This Means (2024 FDD)
According to Crawlspace Medic's 2024 Franchise Disclosure Document, a franchisee must immediately notify the franchisor upon learning of any infringement or challenge to the use of the Principal Mark or other Marks. Following this notification, Crawlspace Medic and its licensor will determine the appropriate course of action. If the franchisee provides timely notice and is in full compliance with the Franchise Agreement, Crawlspace Medic will indemnify the franchisee for all expenses and damages arising from any claim challenging the authorized use of the Principal Mark or other Marks.
Crawlspace Medic and its licensor retain the right to control any administrative proceedings or litigation involving the Principal Mark or other Marks licensed to the franchisee. The franchisee is obligated to fully cooperate with Crawlspace Medic and its licensor in defending and/or settling any such litigation. This ensures that Crawlspace Medic maintains control over its brand and legal strategy while providing support to the franchisee.
Crawlspace Medic also reserves the right to substitute different Marks if the current Marks can no longer be used or if a substitution is deemed beneficial to the System. In such cases, the franchisee may be required, at their own expense, to modify or cease using any Mark, including the Principal Mark, or to adopt additional or substitute Marks. Franchisees are prohibited from directly or indirectly contesting the licensor's or Crawlspace Medic's rights to the Principal Mark or other Marks, reinforcing the franchisor's control over its intellectual property.