Who owns the distinguishing characteristics, improvements, and additions to the Dolce Hotels System?
Dolce_Hotels Franchise · 2025 FDDAnswer from 2025 FDD Document
- 15.2 Inurements. All present and future distinguishing characteristics, improvements and additions to or associated with the System by us, you or others, and all present and future service marks, trademarks, copyrights, service mark and trademark registrations used and to be used as part of the System, and the associated good will, shall be our property and will inure to our benefit.
You covenant that you will not, directly or indirectly through an affiliate, use the design embodied in the Prototype Plans to design, construct or modify any structure other than a Chain Facility.
You acknowledge that the Prototype Plans include non-functional trade dress that is an integral part of the System and you covenant that you will not, directly or indirectly through an affiliate, use the trade dress in any structure that is not a Chain Facility.
No good will shall attach to any secondary designator that you use.
Source: Item 23 — RECEIPTS (FDD pages 84–375)
What This Means (2025 FDD)
According to the 2025 Dolce Hotels Franchise Disclosure Document, Dolce Hotels retains ownership of all present and future distinguishing characteristics, improvements, and additions to the Dolce Hotels system. This includes any service marks, trademarks, copyrights, and registrations used as part of the system, along with the associated goodwill. This ownership extends regardless of whether the improvements or additions are made by Dolce Hotels itself, the franchisee, or others.
This means that while a franchisee may invest in improvements or additions to their specific Dolce Hotels location, the intellectual property and goodwill generated from those improvements ultimately benefit Dolce Hotels. The franchisee cannot use the Prototype Plans to design, construct, or modify any structure other than a Chain Facility. Additionally, no goodwill attaches to any secondary designator that the franchisee might use.
This clause is typical in franchising, as it protects the uniformity and brand standards of the Dolce Hotels system. It ensures that the brand's intellectual property remains under the control of Dolce Hotels, allowing them to maintain consistency and protect the brand's reputation across all franchised locations. Franchisees must be aware that any enhancements they make to their location become the property of the franchisor, reinforcing the importance of adhering to system standards and seeking franchisor approval for any significant modifications.