What provisions of the Fitstop Franchise Agreement can Fitstop enforce through restraining orders or injunctions?
Fitstop Franchise · 2024 FDDAnswer from 2024 FDD Document
her intellectual property rights associated with the same; (ii) any of the restrictive covenants contained in this Agreement; and (iii) any of Franchisee's payment obligations under this Agreement.
- ©2024 Fitstop USA, Inc. 19.3 Injunctive Relief. You acknowledge and agree that irreparable harm could be caused to us by your violation of certain provisions of this Agreement and, as such, in addition to any other relief available at law or equity, we shall be entitled to obtain in any court of competent jurisdiction, without bond, restraining orders or temporary or permanent injunctions in order to enforce, among other items, the provisions of this Agreement relating to: (i) your unauthorized use of the Proprietary Marks and Confidential Information (including any proprietary software used in connection with the Franchised Business); (ii) the in-term covenant not to compete, as well as any other violations of the restrictive covenants set forth in this Agreement; (iii) your obligation upon termination or expiration of this Agreement; (iv) disputes and controversies based on or arising under the Lanham Act, or otherwise
involving the Proprietary Marks, as now or hereafter amended; (v) disputes and controversies involving enforcement of our rights with respect to confidentiality under this Agreement;
Source: Item 23 — RECEIPTS (FDD pages 50–135)
What This Means (2024 FDD)
According to Fitstop's 2024 Franchise Disclosure Document, Fitstop can seek restraining orders or temporary/permanent injunctions from a court of competent jurisdiction, without bond, to enforce specific provisions of the Franchise Agreement. This is in addition to any other legal or equitable remedies available to Fitstop.
These provisions primarily relate to the protection of Fitstop's brand, confidential information, and competitive interests. Specifically, Fitstop can seek injunctive relief to address a franchisee's unauthorized use of the Proprietary Marks and Confidential Information, including any proprietary software used in connection with the Franchised Business. Fitstop can also enforce the in-term covenant not to compete and other restrictive covenants outlined in the agreement through injunctions.
Furthermore, Fitstop can pursue injunctive relief to ensure a franchisee fulfills their obligations upon termination or expiration of the Franchise Agreement. They can also address disputes and controversies arising under the Lanham Act or otherwise involving the Proprietary Marks, as well as disputes related to the enforcement of confidentiality obligations. Finally, Fitstop can seek injunctions to prohibit any act or omission by a franchisee or their representatives that violates applicable law, threatens the Franchise System, or threatens other System franchisees. The franchisee's sole recourse if an injunction is issued is to seek its dissolution by prevailing in subsequent proceedings.