What is the effect of MICO not having federal registration for some Expense Reduction Analysts trademarks?

According to the 2025 Expense Reduction Analysts Franchise Disclosure Document, MICO, the entity that licenses the trademarks to Evercertain Limited, who then licenses them to Expense Reduction Analysts, does not have federal registration for all of the trademarks. This has implications for potential franchisees. Trademarks without federal registration lack the full legal protections and benefits afforded to federally registered trademarks. This means that the trademarks may be more vulnerable to legal challenges.

If the right to use these unregistered trademarks is challenged, Expense Reduction Analysts franchisees may be required to switch to alternative trademarks. This change could lead to increased expenses for the franchisee, as they would need to update signage, marketing materials, and other branded items to reflect the new trademark. Expense Reduction Analysts is not obligated to reimburse franchisees for any loss of revenue attributable to the modified or discontinued mark or for any expenditure incurred to promote a modified or substitute mark.

While Expense Reduction Analysts is not required to defend a franchisee against claims regarding the use of the marks, they will reimburse the franchisee for reasonable expenses incurred in a legal proceeding disputing the authorized use of any mark, provided the franchisee notifies them in a timely manner and complies with their directions. However, this reimbursement does not extend to expenses for separate legal counsel or costs associated with unauthorized use of the marks, or for removing signage or discontinuing the use of any marks. Expense Reduction Analysts retains the right to control the defense and settlement of any such proceeding.