Does the Floors To Go franchisee acknowledge Floors To Go's ownership and rights connected to the Marks?
Floors_To_Go Franchise · 2025 FDDAnswer from 2025 FDD Document
ntest the validity or value of the Marks or our exclusive rights to use and exploit the Marks.
4.10. Related Rights.
- a. You acknowledge our ownership of and other rights in connection with the Marks, as well as the validity of all registrations thereof and shall not at any time do or permit to be done any act or thing which will in any way impair our rights.
- b. You shall not in any way challenge or contest the validity of the Marks or any of our rights under this Agreement, nor shall you willingly become an adverse party to litigation in which others shall so contest the Marks or our rights. In addition, you shall not in any way seek to avoid or reduce your obligations hereunder because of the assertion or allegation by any person(s) that the Marks or any of them are invalid or by reason of any contest or claim concerning our rights. You further agree not to contest that your rights under this Agreement are solely those of a franchisee and that such rights end upon the termination or expiration of the Agreement as provided herein.
- c. Any permutation of the Marks adopted and used by you shall be and become our property and shall be included as Marks subject to this Agreement. You agree that your every use of the Marks shall inure to our benefit, and that you shall not at any time acquire any rights in such Marks beyond the license herein provided by virtue of any use you may make of such Marks.
- d. You acknowledge that only we may file and prosecute applications for registration of the Marks in any country or jurisdiction and agree that we may, from time to time, pursue such registrations we may deem advisable. You shall cooperate with us in connection with any such filings, but the expenses of preparing and prosecuting such applications shall be borne solely by us.
- 4.11. Right to Enjoin Improper Use of Marks and Names. We shall protect and maintain all rights to the name and mark "Floors To Go" and all related names, marks, or logos against encroachment, misuse, or unauthorized use and against challenges to any rights of your use, as we shall determine in our sole discretion. With respect to any use of the name and mark "Floors To Go" by you under this Agreement, you agree to give such reasonable assistance which we may require in order to defend or protect all rights to said name and mark. In the event that you become aware of any infringement of said name or mark, you shall promptly report such infringement to us, and we shall have the sole discretion to take such action as we deem advisable, at our sole expense.
- 4.12. Indemnification. We shall indemnify you against any claims for infringement arising out of your use of the FTG Marks as authorized herein. You shall indemnify us against all claims arising from your improper or unauthorized use of the FTG Marks.
5. Our Obligation to You
5.1. Training to be Provided. From time to time, we may offer voluntary training programs which focus on sales and management training. Members electing to participate are expected to pay a per trainee fee, plus transportation, lodging and meals.
5.2. Assistance to Members.
- a. We will provide and deliver to your Showroom, at our expense, the racks, displays and samples necessary to convert your Showroom to a FTG Showroom, as well as a store design consultant to assist you with adapting the FTG Showroom design package to your Showroom (the "Redesign"). We estimate that the cost of the Redesign will be between Twenty Thousand Dollars ($20,000) and Fifty Thousand Dollars ($50,000) per Showroom, depending on the size of your Showroom. You will not be required to repay any portion of the cost to Redesign your Showroom if you remain a FTG member for the entire Original Term. We will
Source: Item 23 — RECEIPTS (FDD pages 47–204)
What This Means (2025 FDD)
According to the 2025 Floors To Go Franchise Disclosure Document, franchisees acknowledge Floors To Go's ownership and rights regarding the Marks. The franchisee must recognize Floors To Go's ownership and rights related to the Marks and the validity of all registrations. They cannot take any actions that could impair Floors To Go's rights. The franchisee is prohibited from challenging the validity of the Marks or Floors To Go's rights and cannot become an adverse party in litigation contesting the Marks or Floors To Go's rights. They also cannot avoid or reduce their obligations due to claims that the Marks are invalid.
The agreement specifies that any modifications of the Marks used by the franchisee become the property of Floors To Go and are subject to the agreement. All use of the Marks by the franchisee benefits Floors To Go, and the franchisee does not acquire any rights to the Marks beyond the license provided in the agreement. Floors To Go has the exclusive right to file and prosecute applications for registration of the Marks, and the franchisee must cooperate with Floors To Go in these filings, with Floors To Go bearing the expenses.
Floors To Go retains the right to protect and maintain all rights to the name and mark "Floors To Go" and related names, marks, or logos against misuse or unauthorized use. The franchisee agrees to provide reasonable assistance to defend or protect these rights. If the franchisee becomes aware of any infringement of the name or mark, they must report it to Floors To Go, which has the sole discretion to take action at its own expense. The franchisee acknowledges that the Marks are unique and valuable and agrees not to dispute their validity or Floors To Go's exclusive rights to use them.