Where does ADQ identify the specific trademarks that a Dq Treat franchisee is licensed to use?
Dq_Treat Franchise · 2025 FDDAnswer from 2025 FDD Document
cipal | 01/17/06 | | ORANGE JULIUS | 3247123 | Principal | 05/29/07 | | | 3624481 | Principal | 05/19/09 | ADQ identifies the Trademarks that you are licensed to use in the Operations Manual or otherwise in writing. ADQ has the right to change the Trademarks you are licensed to use periodically through changes to the Operations Manual, or otherwise in writing, any of which may be communicated electronically. Your use of the Trademarks and any goodwill is to ADQ's exclusive benefit and you retain no rights in the Trademarks other than a license to use the Trademarks during the term of your franchise agreement. You retain no rights in the Trademarks upon termination of
your franchise agreement. You are not permitted to make any changes or substitutions of any kind in or to the use of the Trademarks unless ADQ directs in writing.
There are currently no effective material determinations by the United States Patent and Trademark Office, the Trademark Trial and Appeal Board, or any state trademark administrator or court, nor any pending infringement, opposition or cancellation proceeding. There is no pending material federal or state court litigation regarding ADQ's use or ownership rights in the Trademarks. There are currently no effective agreements that significantly limit ADQ's rights to use or license the use of the Trademarks in a manner material to the franchise. ADQ does not know of either superior prior rights or infringing uses that could materially affect your use of the principal trademarks in the state where your franchised business will be located.
ADQ is not obligated to protect your right to use the Trademarks, or to protect you against infringement or unfair competition claims arising out of your use of the Trademarks, or to participate in your defense or indemnify you. ADQ has the right to control any litigation related to the Trademarks and the right to decide to pursue or settle any infringement actions related to the Trademarks. You must notify ADQ promptly of any infringement or unauthorized use of the Trademarks of which you become aware and cooperate with any action that ADQ undertakes; however, ADQ is not required by the franchise agreement to take affirmative action when notified of such uses.
Source: Item 13 — UItem 13U***:** U**Trademarks (FDD pages 49–50)
What This Means (2025 FDD)
According to Dq Treat's 2025 Franchise Disclosure Document, ADQ identifies the specific trademarks that a franchisee is licensed to use in two ways. First, ADQ may specify the trademarks in the Operations Manual or otherwise in writing. Second, Item 13 of the FDD lists the principal trademarks registered with the United States Patent and Trademark Office. These principal trademarks include DAIRY QUEEN, DQ, and ORANGE JULIUS. ADQ also claims common law trademark rights for all of the Trademarks and states that it has filed or intends to file all required affidavits and renewals for the trademarks listed.
It is important to note that ADQ has the right to change the trademarks that a Dq Treat franchisee is licensed to use periodically. These changes can be communicated through updates to the Operations Manual or in writing, potentially via electronic communication. The franchisee's use of the trademarks and any associated goodwill benefits ADQ exclusively, and the franchisee only retains a license to use the trademarks during the term of the franchise agreement. Upon termination of the franchise agreement, all rights to the trademarks are relinquished.
The FDD also clarifies that Dq Treat is not obligated to protect a franchisee's right to use the trademarks or to defend against infringement claims arising from their use. ADQ retains the right to control any litigation related to the trademarks and to decide whether to pursue or settle infringement actions. Franchisees are required to notify ADQ promptly of any infringement or unauthorized use of the trademarks and to cooperate with any action that ADQ undertakes. However, ADQ is not required to take any action upon notification of such uses.
Furthermore, if ADQ determines that a third party has superior rights to the trademarks, requiring changes or substitutions, the franchisee must immediately make the required changes at their own expense. The franchise agreement does not provide any rights to the franchisee if ADQ requires them to modify or discontinue using a trademark. This highlights the importance of understanding the terms and conditions related to trademark usage in the franchise agreement.