What rights does Epcon Communities retain regarding the Development System?
Epcon_Communities Franchise · 2025 FDDAnswer from 2025 FDD Document
Ownership of Development System, Epcon Communities Works and Marks.
Sublicensee acknowledges Franchisor's sole and exclusive rights in and to the Development System, Epcon Communities Works and the Marks, and Sublicensee agrees that it will do nothing inconsistent with such rights and interests and that all use of the Development System, Epcon Communities Works and the Marks by Sublicensee shall inure to the benefit of and be on behalf of Franchisor.
If requested by Franchisor or Franchisee, Sublicensee agrees to assist Franchisor in recording this Sublicense Agreement with the appropriate governmental authorities.
Sublicensee agrees that nothing in this Sublicense Agreement shall give Sublicensee any right, title or interest in any of the Development System, Epcon Communities Works or the Marks other than the right to use the Development System, Epcon Communities Works and the Marks in accordance with this Sublicense Agreement, and Sublicensee agrees that it will not attack the title of Franchisor to the Development System, Epcon Communities Works or the Marks or attack the validity of the Franchise Agreement or validity of the sublicense granted pursuant to this Sublicense Agreement. Sublicensee acknowledges and agrees that its strict compliance with the provisions of this Sublicense Agreement is a condition precedent to its sublicense to utilize the Epcon Communities Works, and as such any use of such works in violation of any of these provisions is unauthorized and will be acts of copyright infringement.
Termination.
This Sublicense Agreement may be terminated in compliance with Article 13 of the Franchise Agreement.
Upon the effective date of any termination of this Sublicense Agreement and, in any event, upon expiration of the Term, Sublicensee shall, immediately upon the effective date of such termination or the expiration of the Term, as the case may be, discontinue all use of the Development System, Epcon Communities Works and the Marks and any terms or logos confusingly similar thereto, shall cooperate with Franchisor and Franchisee or their appointed agents in applying to the appropriate governmental authorities to cancel recording of this Sublicense Agreement from all government records and shall destroy all existing inventory of materials and all advertising, promotional and other printed materials bearing the Marks.
Source: Item 23 — RECEIPTS (FDD pages 86–280)
What This Means (2025 FDD)
According to the 2025 Epcon Communities Franchise Disclosure Document, Epcon Communities retains significant rights and control over its Development System, Epcon Communities Works, and Marks. As stated in the FDD, Epcon Communities possesses sole and exclusive rights to the Development System. Franchisees and sublicensees must not act in any way that contradicts these rights. All usage of the Development System, Epcon Communities Works, and Marks by sublicensees will benefit Epcon Communities.
Sublicensees are prohibited from challenging Epcon Communities' title to the Development System, Epcon Communities Works, or Marks, and they must adhere strictly to the sublicense agreement. Non-compliance can lead to unauthorized use and potential copyright infringement. Epcon Communities also has the authority to update, modify, change, or terminate any part of the functionality available through its Databases or Web Site, including the Epcon Communities Intranet. Modifications to the agreement can be communicated through online notices, email, regular mail, or fax, and continued access to the Databases or Web Site implies acceptance of these changes.
Epcon Communities retains the sole right to create websites using specific domain names and Marks, even if franchisees are authorized to use portions of the content for their own websites. Franchisees must obtain written approval from Epcon Communities for their website's domain name and content, and Epcon Communities maintains ongoing approval rights. Epcon Communities can also request the removal of links or references to the Marks on a franchisee's web pages. Furthermore, Epcon Communities owns all data residing on the Epcon Communities Intranet, including mail messages and files, and can monitor, edit, or disclose information as necessary to comply with the law, legal processes, or to protect its interests.