Under what conditions can the Trademark License Agreement for Crisp & Green be terminated?
Crisp_Green Franchise · 2024 FDDAnswer from 2024 FDD Document
Pursuant to the Franchise Agreement, you will have the right to operate a Restaurant under the name "Crisp & Green". You may also use our other current or future trademarks associated with the System to operate your Franchised Restaurant (collectively, the "Marks"). By "trademark," we mean trade names, trademarks, service marks, trade dress, and logos used to identify CRISP & GREEN® Restaurants. All of the Marks are owned by our Parent, Crisp & Green LLC, and licensed to us pursuant to a Trademark License Agreement dated February 28, 2018 (the "Trademark License Agreement"). The Trademark License Agreement continues for an indefinite term, provided that it may be terminated upon the mutual agreement of us or our Parent, or by our Parent in the event we default under the Trademark License Agreement and do not cure such default. Our Parent has the right to approve all proposed uses of the Marks. Because we are a wholly-owned subsidiary of our Parent and our Parent maintains ownership of the Marks, we do not
Source: Item 13 — TRADEMARKS (FDD pages 47–49)
What This Means (2024 FDD)
According to the 2024 Crisp & Green Franchise Disclosure Document, the Trademark License Agreement, dated February 28, 2018, continues for an indefinite term. However, it can be terminated under specific conditions.
The agreement can be terminated upon the mutual agreement of Crisp & Green and its Parent company, Crisp & Green LLC. This means that both parties must agree to end the agreement. Additionally, Crisp & Green LLC, as the Parent company, has the right to terminate the agreement if Crisp & Green defaults under the Trademark License Agreement and fails to correct that default.
Because Crisp & Green is a wholly-owned subsidiary of its Parent company, and the Parent company maintains ownership of the Marks, the FDD states that they do not anticipate an effect on a franchisee's rights to use the Marks if the Trademark License Agreement is terminated. This provides some assurance to franchisees regarding their continued use of the Crisp & Green trademarks even if the agreement between the company and its parent is terminated.