Can Crepe De Licious bring suit in the franchisee's name related to the Marks?
Crepe_De_Licious Franchise · 2025 FDDAnswer from 2025 FDD Document
10. MARKS
10.01 Ownership of the Marks. You acknowledge that we or our affiliates own all rights, title and interest in and to the Marks. You will not acquire any proprietary interest in the Marks, and you will not challenge ownership of the Marks or our right to use the Marks. Except as expressly provided in this Agreement, you will not acquire any rights to the Marks. Your right to use the Marks is merely a nonexclusive license, derived solely under this Agreement.
10.02 Registration. We or our affiliates have taken and will take all steps reasonably necessary, in our and their sole opinion, to preserve and protect ownership of, and the validity of, the Marks. You will not apply for governmental registration of the Marks, or contest the registration status of the Marks. You will display the Marks, and give notice of trademark registration and claims in the following manner: "CREPE DE LICIOUS" (or as otherwise required in the Operations Manual). You will cooperate fully and in good faith with us and our affiliates for the purpose of maintaining registrations and prosecuting applications for the Marks, and otherwise securing and preserving their rights in and to the Marks.
Source: Item 22 — CONTRACTS (FDD page 57)
What This Means (2025 FDD)
Based on the 2025 Crepe De Licious Franchise Disclosure Document, franchisees do not have the authority to bring a suit in their name related to the Marks. The Marks, including logotypes, service marks, and trademarks such as "CREPE DE LICIOUS," are owned by Crepe De Licious or its affiliates. The franchisee's right to use these Marks is established as a nonexclusive license granted solely under the Franchise Agreement.
Crepe De Licious retains the right to take all reasonably necessary steps to protect the ownership and validity of the Marks. Franchisees are explicitly prohibited from applying for governmental registration of the Marks or contesting their registration status. Instead, franchisees are required to display the Marks in the manner prescribed by Crepe De Licious, including providing notice of trademark registration.
Furthermore, franchisees must fully cooperate with Crepe De Licious in maintaining registrations and prosecuting applications for the Marks, ensuring that the company's rights are secured and preserved. This reinforces that Crepe De Licious maintains control over its brand and intellectual property, and franchisees cannot act independently to protect the Marks.