Who has the right to control litigation arising out of any infringement relating to any Mark of Floyds 99?

According to the 2025 Floyds 99 Franchise Disclosure Document, Floyds 99 has the exclusive right to control any litigation, United States Patent and Trademark Office proceeding, or any other administrative proceeding arising out of any infringement, challenge, or claim relating to any Mark. This means that Floyds 99, not the franchisee, will direct and manage any legal actions related to the brand's trademarks.

This control extends to decisions about how to proceed with litigation, including whether to settle or pursue a case in court. The franchisee is required to cooperate with Floyds 99 in any such litigation. Franchisees must immediately report any apparent infringement or challenges to the use of any Mark to Floyds 99 and are prohibited from communicating with anyone other than Floyds 99 or its counsel regarding such matters. Furthermore, franchisees cannot settle any claim without the written consent of Floyds 99.

This arrangement is typical in franchising, as it allows the franchisor to protect the brand's trademarks consistently across all franchise locations. It ensures that legal strategies align with the overall interests of the Floyds 99 system. While franchisees are obligated to cooperate, the ultimate decision-making authority rests with Floyds 99 to safeguard the brand's intellectual property.

For a prospective franchisee, this means that while they must be vigilant in protecting the Floyds 99 brand and reporting any potential infringements, they will not have the burden of managing legal proceedings. Floyds 99 assumes this responsibility, providing a level of protection and expertise in trademark law that individual franchisees may not possess.