Does Expense Reduction Analysts claim common law copyright in its Manuals?
Expense_Reduction_Analysts Franchise · 2025 FDDAnswer from 2025 FDD Document
o not own any registered patents or pending patent applications that are material to the franchise. Although we have not filed an application for a copyright registration for our Manuals or advertising materials, we claim common law copyright in these materials and all other proprietary materials that we and/or our principals develop for use in connection with the System or a Franchised Business. We consider our Manuals to be confidential and require you to treat it as confidential. You must
tell us when you learn about any unauthorized use of our Manuals. We have not filed a patent on our proprietary products.
There are no current determinations, proceedings or litigation involving any of our copyrighted materials. Should you become aware that any unauthorized third party is using any of our copyrighted materials, we request that you notify us of such unauthorized use. We may revise our System and any of our copyrighted materials in our discretion and may require that you cease using any outdated copyrighted material. You will be responsible for printing any revised or new advertising, marketing or other business materials.
During the term of the Franchise Agreement, you will receive information which we consider trade secrets and confidential information. You may not, during the term of the Franchise Agreement, or any time after that, communicate, divulge, or use for the benefit of any other person, partnership, association, corporation, or limited liability company any of these trade secrets, copyrighted materials, methods and other techniques and know-how concerning the operation of the Consulting Business (the "Confidential Information"). You may divulge such Confidential Information only to your employees who must have access to it in order to perform their employment obligations.
The Franchise Agreement provides that if you, your employees, or principals develop any inventions, discoveries, and improvements, whether or not patentable or copyrightable, that are conceived or made by you or your employees or agents that are in any way related to the establishment or operation of the Consulting Business (collectively, the "Improvements"), you must disclose those Improvements to us and all such Improvements will automatically and without further action be owned by us without compensation to you (including all intellectual property rights therein).
Source: Item 14 — PATENTS, COPYRIGHTS, AND PROPRIETARY INFORMATION (FDD pages 39–40)
What This Means (2025 FDD)
According to Expense Reduction Analysts' 2025 Franchise Disclosure Document, while they have not filed for copyright registration for their manuals or advertising materials, they do claim common law copyright on these items. This means that Expense Reduction Analysts believes it inherently owns the copyright to these materials simply by creating them. Expense Reduction Analysts also considers its manuals confidential and requires franchisees to treat them as such. Franchisees are obligated to inform Expense Reduction Analysts of any unauthorized use of the manuals.
Expense Reduction Analysts retains the right to revise its system and copyrighted materials, and may require franchisees to stop using outdated materials. The franchisee is responsible for the costs of printing any revised or new advertising, marketing, or other business materials. During the franchise term and afterward, franchisees must not disclose or use Expense Reduction Analysts' trade secrets, copyrighted materials, methods, or other confidential information for the benefit of any other party.
Furthermore, the franchise agreement stipulates that any inventions, discoveries, or improvements related to the Expense Reduction Analysts consulting business developed by the franchisee or their employees automatically become the property of Expense Reduction Analysts without compensation to the franchisee. This includes all intellectual property rights associated with such improvements. This clause emphasizes the franchisor's control over the intellectual property within the franchise system and the franchisee's limited rights in this area.