Who owns the Trademarks associated with Dq Treat?
Dq_Treat Franchise · 2025 FDDAnswer from 2025 FDD Document
- Company and its predecessors and affiliates have expended considerable time, effort, skill and financial resources in developing the System (defined in section 16).
- Company owns, or licenses from its affiliates, the Trademarks (defined in section 16) used in connection with the System.
- Licensee desires to obtain the right to develop and operate one DQ® Treat restaurant using the System.
Source: Item 17 — The following paragraph is added to the end of Item 17 of the Disclosure Document: (FDD pages 70–378)
What This Means (2025 FDD)
According to the 2025 Dq Treat Franchise Disclosure Document, American Dairy Queen Corporation either owns or licenses the trademarks used in connection with the Dq Treat system. Specifically, the agreement states that the company and its predecessors have invested considerable resources in developing the system, and that the company owns or licenses the trademarks from its affiliates.
This means that as a franchisee, you are granted the right to operate a Dq Treat restaurant using these trademarks, but you do not own them. Your use of the trademarks is subject to the terms and conditions outlined in the franchise agreement. Dq Treat retains the right to modify these trademarks periodically, and franchisees must adhere to the company's guidelines for their use, as specified in the operations manual or in writing.
The agreement also restricts a franchisee's ability to use the trademarks in certain ways. For example, a franchisee cannot use any of the trademarks as part of its business entity name and must only use the DQ® mark as the trade name of the restaurant, unless Dq Treat directs otherwise. Furthermore, franchisees are prohibited from registering any internet domain names that include the trademarks owned by Dq Treat.
These trademark regulations are typical in franchising, as they protect the brand's identity and ensure consistent representation across all franchise locations. Prospective franchisees should carefully review the sections of the franchise agreement that discuss trademark usage to fully understand their obligations and restrictions.