Will a Flowerama franchisee receive compensation for Improvements they create that become Flowerama's property?
Flowerama Franchise · 2024 FDDAnswer from 2024 FDD Document
If you develop any new concept, process or improvement in the System (an "Improvement"), you shall promptly notify us and provide us with all necessary related information, without compensation. Any such Improvement shall become the sole property of ours and we shall be the sole owner of all related intellectual property rights. You hereby assign to us any rights you may have or acquire in the Improvements, including the right to modify the Improvement, and you waive and/or release all rights of restraint and moral rights therein and thereto. You shall assist us in obtaining and enforcing the intellectual property rights to any such Improvement in any and all countries and further agree to execute and provide us with all necessary documentation for obtaining and enforcing such rights. You hereby irrevocably designate and appoint us as your agent and attorney-in-fact to execute and file any such documentation and to do all other lawful acts to further the prosecution and issuance of intellectual property rights related to any such Improvement. If the foregoing provisions of this Section 10 are found to be invalid or otherwise unenforceable, you hereby grant us a worldwide, perpetual, non-exclusive, fully-paid license to use and sublicense the use of the Improvement to the extent such use or sublicense would, absent this Agreement, directly or indirectly infringe our rights therein.
Source: Item 14 — PATENTS, COPYRIGHTS AND PROPRIETARY INFORMATION (FDD pages 57–59)
What This Means (2024 FDD)
According to Flowerama's 2024 Franchise Disclosure Document, if a franchisee develops any new concept, process, or improvement to the Flowerama system, they must promptly notify Flowerama and provide all necessary related information. The franchisee will not receive any compensation for these improvements.
Any such improvement becomes the sole property of Flowerama, and Flowerama will be the sole owner of all related intellectual property rights. The franchisee assigns all rights they may have or acquire in the improvements to Flowerama, including the right to modify the improvement. The franchisee also waives all rights of restraint and moral rights.
The franchisee must assist Flowerama in obtaining and enforcing the intellectual property rights to any such improvement in any and all countries and must provide all necessary documentation for obtaining and enforcing such rights. The franchisee irrevocably designates and appoints Flowerama as their agent and attorney-in-fact to execute and file any such documentation and to do all other lawful acts to further the prosecution and issuance of intellectual property rights related to any such improvement. If any of these provisions are found to be invalid or unenforceable, the franchisee grants Flowerama a worldwide, perpetual, non-exclusive, fully-paid license to use and sublicense the use of the improvement.