Does Deck Medic have reserved rights to use the Licensed Marks?
Deck_Medic Franchise · 2024 FDDAnswer from 2024 FDD Document
We and our affiliates reserve to ourselves the exclusive right on any and all terms and conditions that we deem advisable and, without any compensation or consideration to you (Franchise Agreement, Article 2.D.), to engage in the following activities (our "Reserved Rights"): (a) operate and grant to others the right to develop and operate Deck Medic Businesses using the System and Licensed Marks outside your Operating Territory, as we deem appropriate and irrespective of the proximity to your Operating Territory; (b) acquire, merge with or otherwise affiliate with one or more businesses of any kind, including businesses that offer and sell products and services that are the same as, or similar to, your Deck Medic Business, and after such acquisition, merger or affiliation, to own and operate and to franchise or license others to own and operate and to continue to own and operate such businesses of any kind, even if such businesses offer and sell products and services that are the same as or similar to a the Franchised Business (but not utilizing the Licensed Marks) within your Operating Territory; (c) be acquired by or merge with or otherwise affiliate with one or more businesses of any kind, including businesses that offer and sell products and services that are the same as or similar to the Franchised Business, even if such business or businesses presently or, in the future, own and operate and franchise or license others to own and operate businesses that offer and sell products and services that are the same as or similar to your Deck Medic Business (but not utilizing the Licensed Marks) within your Operating Territory; (d) use the Licensed Marks and System to distribute the Approved Services and Products offered and sold by the Franchised Business or products and services similar to the Approved Services and Products offered and sold by the Franchised Business in alternative channels of distribution including the internet, catalog sales, telemarketing, or other direct marketing sales within or outside your Operating Territory; (e) use the Licensed Marks and System to offer, sell, and provide the Approved Services and Products offered and sold by the Franchised Business or products and services similar to the Approved Services and Products offered and sold by the Franchised Business on behalf of customers of local, regional, and/or national corporate accounts such as residential property owners, commercial property owners, and insurance companies (referred to as "Corporate Accounts") within or outside your Operating Territory; and (f) use the Licensed Marks
Source: Item 12 — TERRITORY (FDD pages 29–32)
What This Means (2024 FDD)
According to Deck Medic's 2024 Franchise Disclosure Document, Deck Medic retains specific rights regarding the use of its Licensed Marks. These reserved rights allow Deck Medic and its affiliates to operate and grant others the right to develop Deck Medic businesses using the System and Licensed Marks outside a franchisee's Operating Territory. This can occur irrespective of the proximity to the franchisee's territory and without any compensation to the franchisee.
Deck Medic also reserves the right to use the Licensed Marks and System for distributing approved services and products through alternative channels, such as the internet, catalog sales, telemarketing, or other direct marketing sales, both within and outside a franchisee's Operating Territory. Additionally, Deck Medic can use the Licensed Marks and System to offer and sell approved services and products to local, regional, or national corporate accounts, such as residential property owners, commercial property owners, and insurance companies, regardless of the franchisee's territory.
These reserved rights mean that while a franchisee operates within their designated territory, Deck Medic can still engage in activities that might compete with the franchisee's business through different channels or with corporate accounts. This is a common practice in franchising, allowing the franchisor to pursue various market opportunities and maintain brand consistency across different platforms and customer segments. However, it's important for potential franchisees to understand that their territory is not entirely exclusive, and Deck Medic retains significant control over the use of its Licensed Marks and System.
Prospective franchisees should consider these reserved rights carefully and discuss with Deck Medic how these activities might impact their business. Understanding the extent of Deck Medic's reserved rights is crucial for assessing the potential for competition and the overall value of the franchise opportunity.