factual

Are there any pending infringement proceedings related to the Desi District trademarks?

Desi_District Franchise · 2024 FDD

Answer from 2024 FDD Document

they are legally required.

Determinations

There are no currently effective material determinations of the United States Patent and Trademark Office, the Trademark Trial and Appeal Board, or any state trademark administrator or court. There are no pending infringement, opposition, or cancellation proceedings.

Litigation

There is no pending material federal or state court litigation regarding our use or ownership rights in a trademark.

Agreements

Desi District, LLC, our affiliate, owns the trademarks described in this Item. Under an Intercompany License Agreement between us and Desi District, LLC, we have been granted the exclusive right to sublicense the trademarks to franchisees throughout the United States. The agreement is of perpetual duration. It may be modified only by mutual consent of the parties. It may be canceled by our affiliate only if (1) we materially misuse the trademarks and fail to correct the misuse, or (2) we discontinue commercial use of the trademarks for a continuous period of more than one year. The Intercompany License Agreement specifies that if it is ever terminated, your franchise rights will remain unaffected.

Protection of Rights

We protect your right to use the principal trademarks listed in this Item, and we protect you against claims of infringement or unfair competition arising out of your use of the trademarks, to the extent described in this section.

The franchise agreement obligates you to notify us of the use of, or claims of rights to, a trademark identical to or confusingly similar to a trademark licensed to you. The franchise agreement does not require us to take affirmative action when notified of these uses or claims. We have the right to control any administrative proceedings or litigation involving a trademark licensed by us to you.

If you use our trademarks in accordance with the franchise agreement, then (i) we will defend you (at our expense) against any legal action by a third-party alleging infringement by your use of the trademark, and (ii) we will indemnify you for expenses and damages if the legal action is resolved unfavorably to you.

Under the franchise agreement, we may require you to modify or discontinue using a trademark, at your expense.

Superior Prior Rights and Infringing Uses

We do not know of either superior prior rights or infringing uses that could materially affect your use of the principal trademarks.

Source: Item 13 — TRADEMARKS (FDD pages 40–42)

What This Means (2024 FDD)

According to Desi District's 2024 Franchise Disclosure Document, there are no pending infringement, opposition, or cancellation proceedings related to their trademarks. Additionally, there is no pending material federal or state court litigation regarding Desi District's use or ownership rights in a trademark. This indicates that Desi District is not currently involved in any legal disputes concerning its trademarks. Desi District also states that they do not know of either superior prior rights or infringing uses that could materially affect a franchisee's use of the principal trademarks.

Desi District also states that they will defend a franchisee (at their expense) against any legal action by a third-party alleging infringement by the franchisee's use of the trademark. Desi District will also indemnify the franchisee for expenses and damages if the legal action is resolved unfavorably to the franchisee. However, under the franchise agreement, Desi District may require a franchisee to modify or discontinue using a trademark, at the franchisee's expense.

It's important to note that the franchise agreement obligates franchisees to notify Desi District of any use of, or claims of rights to, a trademark identical or confusingly similar to a trademark licensed to them. However, the franchise agreement does not require Desi District to take affirmative action when notified of these uses or claims. Desi District retains the right to control any administrative proceedings or litigation involving a trademark licensed to a franchisee.

Disclaimer: This information is extracted from the 2024 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.