Is the Engel & Volkers franchisee allowed to apply for registration of marks confusingly similar to the trademarks?
Engel_Volkers Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee shall use the trademark ENGEL & VÖLKERS® and other Trademarks solely in accordance with the provisions of this Agreement and System Documentation and shall not use or apply for the registration of any mark or names confusingly similar to any Trademark, or use or apply for the registration of any mark or name that incorporates in whole or in part any Trademark, or, use or cause such marks or names to be registered that would prejudice the rights attaching to any Trademark in any other way whatsoever.
Franchisee shall also not use the Trademarks in the metaverse, and Franchisor reserves, maintains, and controls all right with respect to the use of the System and the Trademarks in the metaverse.
Source: Item 22 — CONTRACTS (FDD page 88)
What This Means (2025 FDD)
According to Engel & Volkers' 2025 Franchise Disclosure Document, franchisees are explicitly prohibited from registering trademarks that are confusingly similar to Engel & Volkers' existing trademarks. The franchisee must adhere to the agreement and system documentation when using the Engel & Volkers trademarks. They cannot apply for registration of any mark or name confusingly similar to any Engel & Volkers trademark. They are also prohibited from using or registering any mark or name that incorporates the Engel & Volkers trademark, in whole or in part, if it would prejudice the rights attached to the trademark.
This restriction is typical in franchising, as franchisors need to protect their brand identity and avoid customer confusion. Allowing franchisees to register similar marks could dilute the brand and create legal complications for the entire franchise system. Engel & Volkers maintains control over its trademarks to ensure consistent branding and quality standards across all franchise locations.
Engel & Volkers also restricts the use of its trademarks in the metaverse, reserving all rights to the system and trademarks in that digital realm. This indicates a proactive approach to protecting its brand in emerging technologies and platforms. Franchisees should be aware that their rights to use the Engel & Volkers trademarks are limited to the specific terms outlined in the franchise agreement and system documentation.