To whom should a Floyds 99 franchisee report any possible trademark infringement?
Floyds_99 Franchise · 2025 FDDAnswer from 2025 FDD Document
- 15.4 Mark Infringement.
The Franchisee shall notify the Franchisor in writing of any possible infringement or illegal use by others of a trademark the same as or confusingly similar to the Marks or of any copyrighted work of the Franchisor which may come to its attention.
The Franchisee acknowledges that the Franchisor shall have the right, in its sole discretion, to determine whether any action will be taken on account of any possible infringement or illegal use.
The Franchisor may commence or prosecute such action in the Franchisor's own name, the name of Floyd's 99 Holdings, LLC and may join the Franchisee as a party to the action if the Franchisor determines it to be reasonably necessary for the continued protection and quality control of the Marks, Licensed Methods and copyrighted works.
The Franchisor shall bear the reasonable cost of any such action, including attorneys' fees.
The Franchisee must fully cooperate with the Franchisor in any such litigation.
The Franchisor shall indemnify and hold the Franchisee harmless from, and reimburse the Franchisee for, any loss, liability, claim or damages (collectively, the "Claims"), and all reasonable costs, expenses and attorneys' fees incurred defending any Claims brought against the Franchisee, or in any action in which the Franchisee is named as a party, which arises out of or is related to the Franchisee's authorized use of any Mark or copyrighted work of the Franchisor, which use is in compliance with the terms of this Agreement.
The Franchisee shall timely notify the Franchisor of any Claims for which it is seeking indemnity hereunder.
The Franchisor, at its option, shall be entitled to control the defense of any action or proceeding involving any Claims.
Source: Item 22 — CONTRACTS (FDD pages 57–58)
What This Means (2025 FDD)
According to Floyds 99's 2025 Franchise Disclosure Document, a franchisee is required to notify the franchisor in writing of any potential trademark infringement or unauthorized use of a trademark that is the same as or confusingly similar to the Floyds 99 marks. This also applies to any copyrighted work belonging to the franchisor that the franchisee becomes aware of.
Floyds 99 retains the sole discretion to decide whether or not to take action regarding the potential infringement or illegal use. The franchisor has the right to initiate legal action in its own name or in the name of Floyd's 99 Holdings, LLC. The franchisor can also include the franchisee as a party to the action if it is deemed necessary to protect the marks, licensed methods, and copyrighted works.
The franchisor is responsible for covering the reasonable costs of any legal action, including attorney's fees. The franchisee is obligated to fully cooperate with the franchisor in any litigation. Additionally, Floyds 99 will protect the franchisee from any claims or damages resulting from the franchisee's authorized use of the franchisor's marks or copyrighted works, provided that the franchisee complies with the terms of the franchise agreement. The franchisee must promptly inform the franchisor of any claims for which they are seeking protection.
Floyds 99 has the option to control the defense of any legal action or proceeding involving claims related to trademark or copyright use. This ensures that the brand maintains control over its intellectual property and legal strategy, while also providing support and protection to its franchisees who are using the brand's assets in accordance with the franchise agreement.