Upon termination or expiration of the Eos Worldwide franchise agreement, what must a franchisee do with Confidential Information, Intellectual Property, and Marks?
Eos_Worldwide Franchise · 2025 FDDAnswer from 2025 FDD Document
Upon any expiration or termination of this Agreement for any reason, you must, at your cost and expense:
- (a) immediately cease to use any of the Confidential Information, the Intellectual Property and the Marks;
- (b) immediately return to us (or destroy upon our request) all of your copies of any materials containing any of the Confidential Information or any materials bearing the Intellectual Property or the Marks and all copies and records of the Lists and Client Data;
- (d) immediately cease all use of our Marks and Intellectual Property including any of our marketing materials and brochures and stop holding yourself out to the public as associated with us in any way including the removal of all trade dress;
- (e) immediately terminate your access to our Computer Systems, any Required Technology, any E-Commerce activities we designate, and any other applicable EOS systems to which you had access as a franchisee, and immediately remove any Franchise related proprietary software from your computer(s);
Source: Item 23 — RECEIPTS (FDD pages 74–246)
What This Means (2025 FDD)
According to the 2025 FDD, upon termination or expiration of the Eos Worldwide franchise agreement, the franchisee must cease using any Confidential Information, Intellectual Property, and Marks. The franchisee is also required to return or destroy, at their own cost, all copies of materials containing Confidential Information, Intellectual Property, or Marks, including lists and client data.
Additionally, the franchisee must stop using Eos Worldwide's Marks and Intellectual Property, including marketing materials, and cease presenting themselves as associated with Eos Worldwide. This includes removing all trade dress. The franchisee must also terminate access to Eos Worldwide's computer systems, required technology, e-commerce activities, and any other applicable systems.
These obligations are fairly standard in franchising. Franchisors like Eos Worldwide need to protect their brand and proprietary information. The restrictions prevent former franchisees from unfairly competing using the franchisor's resources and reputation. Franchisees should be aware of these post-termination obligations before signing the franchise agreement, as failing to comply can result in legal action from the franchisor.