What is the relationship between Desi District Franchise Group and Desi District, LLC, regarding the Desi District system?
Desi_District Franchise · 2024 FDDAnswer from 2024 FDD Document
This Agreement is made between Desi District Franchise Group, LLC, a Delaware Limited Liability Company ("Desi District Franchise Group"), and Franchisee effective as of the date signed by Desi District Franchise Group (the "Effective Date").
Background Statement:
- A. Desi District Franchise Group and its affiliate Desi District, LLC, have created and own a system (the "System") for developing and operating a fast casual eatery serving Indian fusion food and may have an optional accompanied grocery market under one roof, offering a proprietary line of products within the market, under the trade name "Desi District".
- B. The System includes (1) methods, procedures, and standards for developing and operating a Desi District business, (2) plans, specifications, equipment, signage and trade dress for Desi District businesses, (3) particular products and services, (4) the Marks, (5) training programs, (6) business knowledge, (7) marketing plans and concepts, and (8) other mandatory or optional elements as determined by Desi District Franchise Group from time to time.
- C. The parties desire that Desi District Franchise Group license the Marks and the System to Franchisee for Franchisee to develop and operate a Desi District business on the terms and conditions of this Agreement.
Source: Item 22 — CONTRACTS (FDD page 52)
What This Means (2024 FDD)
According to Desi District's 2024 Franchise Disclosure Document, Desi District Franchise Group, LLC, and Desi District, LLC, are affiliated entities involved in the Desi District franchise system. Desi District Franchise Group, LLC, is the entity that enters into the Franchise Agreement with the franchisee.
The FDD states that Desi District Franchise Group, LLC, along with its affiliate Desi District, LLC, created and owns the Desi District system. This system encompasses the methods, procedures, and standards for operating a fast-casual eatery serving Indian fusion food, potentially including an optional grocery market. It also includes elements such as business plans, specifications, equipment, signage, trade dress, products, services, trademarks, training programs, business knowledge, and marketing plans.
In essence, Desi District Franchise Group, LLC, licenses the Desi District system and trademarks to the franchisee, enabling them to operate a Desi District business under the terms and conditions outlined in the Franchise Agreement. Desi District, LLC, is identified as an affiliate that co-owns the system with Desi District Franchise Group, LLC.