factual

Does a Del Taco franchisee gain any ownership interest in the Proprietary Marks through their use?

Del_Taco Franchise · 2025 FDD

Answer from 2025 FDD Document

  • 8.3.3 Franchisee's use of the Proprietary Marks does not give Franchisee any ownership interest or other interest in or to the Proprietary Marks, except the license granted by this Agreement.

Source: Item 22 — CONTRACTS (FDD pages 58–59)

What This Means (2025 FDD)

According to Del Taco's 2025 Franchise Disclosure Document, franchisees do not acquire any ownership interest in Del Taco's Proprietary Marks beyond the license granted in the franchise agreement. Del Taco retains full ownership and control of its trademarks.

The agreement specifies that a franchisee's right to use the Proprietary Marks is limited to the uses authorized within the franchise agreement. Any unauthorized use of these marks by the franchisee constitutes an infringement of Del Taco's rights. Franchisees are also prohibited from using the Proprietary Marks to incur any obligations or debts on behalf of Del Taco, or from using the marks as part of their corporate or legal name, email address, domain name, or on social media.

Del Taco retains the right to use the Proprietary Marks themselves, grant licenses to others, and even develop other systems using similar marks without providing any rights to the franchisee. Del Taco also reserves the right to substitute different proprietary marks if necessary, and franchisees are obligated to implement these changes at their own expense. This ensures that Del Taco maintains complete control over its brand and can adapt it as needed without being encumbered by franchisee ownership claims.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.