What happens if Degree Wellness is required to change its trademarks?
Degree_Wellness Franchise · 2025 FDDAnswer from 2025 FDD Document
terests in any litigation or PTO or other proceeding related to any Mark, or otherwise protect and maintain our interests in the Marks.
If we decide that it is advisable for us and/or you to modify or discontinue use of any Mark and/or use one or more additional or substitute trade or service marks, then you must comply with our instructions to do so within a reasonable time after receiving notice from us at your own
expense and we need not reimburse you for any loss of revenue due to any modified or discontinued Mark.
We will indemnify you against, and reimburse you for, (1) all damages for which you are held liable in any judicial or administrative proceeding arising out of your use of any Mark in compliance with your Franchise Agreement; and (2) all costs you reasonably incur in defending against any claim brought against you or in any proceeding in which you are named as a party, provided that you have timely notified us of the claim or proceeding, provided us with the opportunity to defend the claim, cooperated with the defense of the claim, and otherwise complied with the Franchise Agreement. We may defend any proceeding arising out of your use of any Mark under your Franchise Agreement, and have no obligation to indemnify or reimburse you for any attorneys' fees or disbursements you incur if we defend the proceeding.
Item 14
PATENTS, COPYRIGHTS AND PROPRIETARY INFORMATION
Except as provided in this item, you do not receive the right to use an item covered by a registered patent or copyright, but you can use the proprietary information in our Operations Manual. See Item 11 for additional information about our Operations Manual. We do not own any rights in or licenses to any patents or have any pending patent applications that are material to the franchise.
Source: Item 13 — Trademarks (FDD pages 45–47)
What This Means (2025 FDD)
According to Degree Wellness's 2025 Franchise Disclosure Document, if Degree Wellness decides that it is advisable to modify or discontinue the use of any mark, franchisees must comply with their instructions to do so within a reasonable time after receiving notice. This compliance is at the franchisee's own expense, and Degree Wellness is not obligated to reimburse the franchisee for any loss of revenue resulting from the modified or discontinued mark.
However, Degree Wellness will indemnify and reimburse the franchisee for all damages they are held liable for in any legal proceeding arising from the use of any mark, provided the franchisee used the mark in compliance with the Franchise Agreement. This also extends to all costs reasonably incurred in defending against any claim brought against the franchisee, provided that the franchisee has notified Degree Wellness of the claim, allowed them the opportunity to defend it, cooperated with the defense, and otherwise complied with the Franchise Agreement. Degree Wellness retains the right to defend any proceeding arising from the franchisee's use of any mark and is not obligated to cover attorney's fees if they choose to defend the proceeding themselves.
Furthermore, the FDD states that Degree Wellness does not have a federal registration for all of its principal trademarks. Therefore, some of their trademarks do not have as many legal benefits and rights as a federally registered trademark. If their right to use the trademark is challenged, the franchisee may have to change to an alternative trademark, which may increase their expenses.