What must an Engel & Volkers franchisee do with proposed applications for registration of any Trademarks or variations for electronic commerce?
Engel_Volkers Franchise · 2025 FDDAnswer from 2025 FDD Document
You will comply with the requirements set forth in the System Documentation regarding use of the Trademarks in electronic commerce, which includes all forms of electronic or computer communication, including your Website. Your Website is a subdomain of our Website. You are not allowed to maintain any other website for your Residential Real Estate Brokerage or any of its sales advisors. We may require that various types of marketing or advertising utilize a specific template or format. You will give us copies of all proposed applications for registration of any of the Trademarks or any variation thereof for use in and for electronic commerce, including your Internet or Website address and domain name. You must obtain our prior written approval before filing any application, which approval we may withhold in our business judgment. On expiration or termination of this Agreement, you will transfer your Internet or Website addresses and domain names to us upon our written request. You will not receive any compensation for that transfer.
Source: Item 13 — TRADEMARKS (FDD pages 56–59)
What This Means (2025 FDD)
According to Engel & Volkers's 2025 Franchise Disclosure Document, a franchisee must provide Engel & Volkers with copies of all proposed applications for registration of any of the Trademarks or any variation thereof for use in and for electronic commerce, including their Internet or Website address and domain name. The franchisee must obtain Engel & Volkers's prior written approval before filing any application, and Engel & Volkers may withhold this approval based on their business judgment. Upon expiration or termination of the Franchise Agreement, the franchisee must transfer their Internet or Website addresses and domain names to Engel & Volkers upon their written request, without receiving any compensation for the transfer.
This means that an Engel & Volkers franchisee has limited control over the Trademarks and their use in electronic commerce. They cannot independently register any variations of the Trademarks without prior approval from Engel & Volkers. This ensures that Engel & Volkers maintains control over its brand and how it is represented online. The requirement to transfer domain names and website addresses back to Engel & Volkers upon termination of the agreement further reinforces the franchisor's ownership and control over the brand's online presence.
This level of control is fairly common in franchising, as franchisors need to protect their brand identity and ensure consistency across all franchise locations. However, it is important for prospective franchisees to understand these restrictions and factor them into their business planning. The franchisee should inquire about the criteria Engel & Volkers uses to evaluate applications for trademark registration and under what circumstances approval might be withheld. Understanding these factors can help a franchisee avoid potential conflicts and ensure compliance with the franchise agreement.