Is a Fitstop franchisee allowed to take any action that will interfere with Fitstop's Marks and IP?
Fitstop Franchise · 2024 FDDAnswer from 2024 FDD Document
- 3.2 You agree that you must use our Marks and IP strictly in compliance with this Agreement, Franchise System and Manual (s), as we may update, supplement and/or otherwise modify in writing as we determine appropriate from time to time.
- 3.3 You shall take no action which will interfere with any of our Marks and IP.
- 3.4 You shall not make an application for registration or other protection of any of our Marks and IP, and/or any item or items similar thereto, without our prior written consent.
- 3.5 You shall not contest our ownership of, nor the legal validity of any Mark and/or IP we determine to license or otherwise associate with the Franchise System and provide you with access to under the Agreement at any time during the Term hereof;
- 3.6 You shall immediately notify us of any claim of infringement resulting from any use of the Marks and IP. We have sole discretion as to what action to take, if any, regarding such matters. If we elect to take legal or administrative action in any such matter, you promise to join as a party to such action, or to allow us to bring the action solely in the name of your Franchised Business, but only as and if we so direct. In any such event, we shall bear the legal fees and court costs of prosecuting or defending any such action.
- 3.7 We, in our sole discretion, may modify or discontinue the use of our name, symbols, designs, trademarks, service marks, and patents, or any item or items similar thereto. In such event, we will not reimburse you for the tangible out of pocket costs which you incur in connection with making the necessary changes in accordance with our directives and timetables.
- 3.8 You shall not use any name in the operation of the Franchised Business, other than those which we specifically authorize in writing.
- 3.9 All directory listings, letterhead, or any other visual or printed matter that you use to communicate with anyone shall conform to our brand standards and the Manual(s).
Source: Item 23 — RECEIPTS (FDD pages 50–135)
What This Means (2024 FDD)
According to Fitstop's 2024 Franchise Disclosure Document, franchisees are explicitly prohibited from taking any actions that could interfere with Fitstop's trademarks and intellectual property. The agreement states that franchisees must use Fitstop's Marks and IP strictly in compliance with the franchise agreement, the Franchise System, and the Manuals, as Fitstop updates them.
Specifically, franchisees cannot apply for registration or protection of Fitstop's Marks and IP, or anything similar, without prior written consent from Fitstop. Franchisees also agree not to contest Fitstop's ownership or the legal validity of any Mark or IP associated with the Franchise System. If there is a claim of infringement resulting from the use of Marks and IP, the franchisee must immediately notify Fitstop, which has sole discretion over any action taken.
Fitstop also retains the right to modify or discontinue the use of its name, symbols, designs, trademarks, service marks, and patents. While Fitstop will not reimburse franchisees for tangible out-of-pocket costs incurred due to these changes, the franchisee must comply with Fitstop's directives and timetables. Furthermore, franchisees must only use names specifically authorized by Fitstop in writing for operating the Franchised Business, and all visual and printed matter must conform to Fitstop's brand standards and the Manuals.