factual

Under the Epcon Communities Franchise Agreement, what are the obligations of the franchisee regarding the use of the Marks?

Epcon_Communities Franchise · 2025 FDD

Answer from 2025 FDD Document

ourt litigation involving these Marks. In addition, there are no agreements currently in effect which significantly limit our rights to use or license the use of the Marks.

You must use each Mark in full compliance with your Franchise Agreement, the Operations Manual and with reasonable rules prescribed periodically by us. You are prohibited under the Franchise Agreement from using any Mark as part of any corporate, partnership, trade or other legal name without our prior consent. You must, except as prohibited by applicable law, develop your projects under the Marks designated by us for that purpose without any prefix, suffix or other modifying words, terms, designs or symbols without our prior written consent. In addition, you may not use any Mark in connection with the sale of any unauthorized product or service or in any manner not authorized in writing by us. Under the Franchise Agreement, you agree not to contest, directly or indirectly, our ownership, title, right or interest in the Marks which are a part of the Development System.

The Franchise Agreement does not obligate us to protect your use of the Marks or protect you against claims of infringement or unfair competition arising out of your use of the Marks. You must promptly notify us of any use of the Marks or any use resembling or suggesting the Marks and any litigation instituted

by any third party against us or you involving the Marks. The Franchise Agreement does not require us to take affirmative action when notified of these uses or claims. We have the right to control any administrative proceedings or litigation involving the Marks. We may, in our sole discretion, undertake the defense, prosecution or settlement of any litigation relating to the Marks. If we do so, you must, under the Franchise Agreement, sign documents and render other assistance as is in our opinion reasonably necessary to carry out the defense, prosecution or settlement.

Source: Item 13 — TRADEMARKS (FDD pages 50–53)

What This Means (2025 FDD)

According to the 2025 Epcon Communities Franchise Disclosure Document, franchisees have specific obligations regarding the use of the brand's trademarks, or "Marks." Franchisees must use each Mark in full compliance with the Franchise Agreement, the Operations Manual, and any reasonable rules prescribed by Epcon Communities. A significant restriction is that franchisees cannot use any Mark as part of their corporate, partnership, trade, or other legal name without prior consent from Epcon Communities.

Furthermore, franchisees must develop their projects under the Marks designated by Epcon Communities for that purpose, and they cannot add any prefix, suffix, or other modifying words, terms, designs, or symbols without prior written consent. Franchisees are also prohibited from using any Mark in connection with the sale of any unauthorized product or service or in any manner not authorized in writing by Epcon Communities. Franchisees agree not to contest Epcon Communities' ownership, title, right, or interest in the Marks that are part of the Development System.

Additionally, franchisees must promptly notify Epcon Communities of any use of the Marks or any similar use, as well as any litigation instituted by a third party against Epcon Communities or the franchisee involving the Marks. If Epcon Communities discontinues or modifies any of the Marks, they may require the franchisee to discontinue or modify their use of that Mark at their own cost. Failure to comply with this requirement gives Epcon Communities the right to terminate the Franchise Agreement. These stipulations ensure brand consistency and protect Epcon Communities' trademark rights, while also placing responsibility on the franchisee to adhere to these guidelines and report any potential infringement or misuse of the Marks.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.