After the Dermani Medspa agreement expires or is terminated, under what circumstances are franchisees permitted to identify themselves as a former franchisee?
Dermani_Medspa Franchise · 2025 FDDAnswer from 2025 FDD Document
- 15.2. Marks. When this Agreement expires or is terminated:
- 15.2.1. you may not directly or indirectly at any time or in any manner (except as we may otherwise approve, and except with respect to other Franchised Businesses Medspas you own and/or manage or as required by law, or as necessary to accurately respond to any inquiry, or as required by law, regarding your business operations prior to the expiration or termination) identify yourself or any business as a current or former Franchised Business or Medspa or as one of our current or former franchisees; use any Mark, any colorable imitation of a Mark, or other indicia of a Franchised Business or Medspa in any manner or for any purpose; or use for any purpose any trade name, trade or service mark, or other commercial symbol that indicates or suggests a connection or association with us;
Source: Item 23 — RECEIPTS (FDD pages 66–311)
What This Means (2025 FDD)
According to the 2025 Dermani Medspa Franchise Disclosure Document, after the franchise agreement expires or is terminated, franchisees are generally prohibited from identifying themselves or their business as a current or former Dermani Medspa franchisee. This restriction extends to using any Dermani Medspa marks, imitations of those marks, or any commercial symbols that suggest an association with Dermani Medspa.
However, there are a few exceptions to this rule. Dermani Medspa may provide written approval allowing a former franchisee to identify as such. Additionally, franchisees may identify themselves as former franchisees if required by law or when accurately responding to inquiries regarding their business operations prior to the expiration or termination of the agreement. This exception seems to allow franchisees to accurately represent their history, but only when legally obligated or in direct response to inquiries about their past affiliation.
This clause is designed to protect the Dermani Medspa brand and prevent confusion among customers. By restricting the use of its trademarks and association after termination or expiration, Dermani Medspa aims to maintain control over its brand image and avoid any potential misrepresentation by former franchisees. Prospective franchisees should be aware of these restrictions and understand that upon leaving the Dermani Medspa system, they will need to completely disassociate themselves from the brand, except in very limited circumstances.