What is the Floors To Go franchisee's obligation regarding ceasing operations of the Floors To Go Showroom?
Floors_To_Go Franchise · 2025 FDDAnswer from 2025 FDD Document
You shall promptly discontinue use of all floor covering samples, labels, display racks, Proprietary Information, advertisements, and any other items bearing the FTG Marks or relating to the FTG System (the "Proprietary Items") and shall promptly remove all such Proprietary Items from the Showroom and totally deidentify the Showroom premises as being or ever having been a Floors To Go Showroom.
You must destroy all Proprietary Items and dispose of same within ten (10) days after termination or expiration of this Agreement for any reason.
You shall be prohibited from copying, disseminating, or in any other manner disclosing or using any Proprietary Information and other proprietary materials, all of which you acknowledge to be our trade secrets;
You shall remove the FTG Marks from all Showroom signage, interior and exterior;
You shall cease to utilize the FTG System;
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- You shall immediately cease to use, by advertising or in any manner whatsoever, the name "Floors To Go" and any forms, slogans, signs, marks, symbols, and devices used in connection with the operation of a Floors To Go independent Showroom. You shall not represent or advertise that we were formerly parties to this Agreement or that you did business under our trademarks or trade names; and
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- You shall take such action as shall be necessary to cancel any assumed name or equivalent registration which contains the name "Floors To Go" or any of our other trademarks, and you shall furnish to us evidence satisfactory to us of compliance with this obligation within thirty (30) days after said termination.
Source: Item 23 — RECEIPTS (FDD pages 47–204)
What This Means (2025 FDD)
According to the 2025 Floors To Go Franchise Disclosure Document, upon termination of the franchise agreement, franchisees have several obligations regarding the cessation of operations. The franchisee must discontinue using all floor covering samples, labels, display racks, proprietary information, advertisements, and any other items bearing the Floors To Go marks or relating to the Floors To Go system. They are also required to promptly remove all such proprietary items from the showroom and completely remove any indication that the showroom was ever a Floors To Go location.
Specifically, the franchisee is obligated to remove the Floors To Go marks from all showroom signage, both interior and exterior. They must also cease using the Floors To Go system. Furthermore, the franchisee must immediately stop using the name "Floors To Go" in any form, including advertising, slogans, signs, marks, symbols, and devices connected with the operation of the Floors To Go showroom. They are prohibited from representing that they were formerly associated with Floors To Go or that they conducted business under its trademarks or trade names.
The franchisee is required to take necessary actions to cancel any assumed name or equivalent registration that includes the name "Floors To Go" or any of its trademarks. Evidence of compliance with this obligation must be provided to Floors To Go within thirty (30) days after termination. Additionally, all proprietary items must be destroyed and disposed of within ten (10) days after the termination or expiration of the agreement for any reason. The franchisee is also prohibited from copying, disseminating, or using any proprietary information or materials, as these are acknowledged to be trade secrets of Floors To Go.