Who has the right to control litigation arising out of infringement of the Face Foundrie Marks?
Face_Foundrie Franchise · 2025 FDDAnswer from 2025 FDD Document
chisee, upon a reasonable period of time after receipt of written notice, shall take such action, at its sole expense, as is necessary to comply with such change, alteration, discontinuation, addition or substitution. Franchisor shall have no liability for any loss of revenue or goodwill due to any new Mark or discontinued Mark.
- 5.04 Notification of Infringements and Claims. Franchisee must notify Franchisor immediately of any apparent infringement of or challenge to Franchisee's use of any Mark, or any claim by another Person of any rights in any Mark. Franchisee may not communicate with any Person, other than its legal counsel, and Franchisor, in connection with any such infringement, challenge or claim. Franchisor will have sole discretion to take such action as it deems appropriate and will have the right to control exclusively any litigation or U.S. Patent and Trademark Office proceeding arising out of any such infringement, challenge or claim or otherwise relating to any Mark. Franchisee must sign any and all documents, render such assistance and do such things as may be advisable in the opinion of Franchisor's counsel to protect Franchisor's interests in any litigation or U.S. Patent and Trademark Office proceeding or other administrative proceeding or otherwise to protect its interests in the Marks.
Source: Item 22 — CONTRACTS (FDD pages 73–74)
What This Means (2025 FDD)
According to Face Foundrie's 2025 Franchise Disclosure Document, Face Foundrie retains sole discretion over any legal action regarding the brand's trademarks. Specifically, Face Foundrie has the right to exclusively control any litigation or U.S. Patent and Trademark Office proceeding arising out of any infringement, challenge, or claim relating to any Mark.
This means that if a Face Foundrie franchisee discovers someone infringing on the Face Foundrie trademarks, the franchisee is required to notify Face Foundrie immediately. The franchisee is then restricted from communicating with anyone other than their legal counsel and Face Foundrie about the infringement.
Furthermore, the franchisee must sign documents and provide assistance that Face Foundrie deems necessary to protect its interests in any legal or administrative proceedings. However, Face Foundrie will indemnify the franchisee against damages they are held liable for in a proceeding arising from authorized use of any Mark, provided the franchisee has notified Face Foundrie of such claim and is in compliance with all agreements.