What are the potential consequences if Gokhale Method's right to use the unregistered trademarks is challenged?
Gokhale_Method Franchise · 2024 FDDAnswer from 2024 FDD Document
We also claim common-law rights to the stylized design of a tree as well as to the words "Primal PostureTM", "Gokhale Pain Free ChairTM", "Pendo PressTM", "SpineTrackerTM", and "PostureTrackerTM" (the "Unregistered Marks") that we use in connection with our trade names. We do not have federal registrations for the Unregistered Marks. Therefore, these trademarks do not have the legal benefits and rights they would have as a federally registered trademark. If our right to use these trademarks is challenged, you may have to change to an alternative trademark, which may increase your expenses.
Source: Item 13 — TRADEMARKS (FDD pages 24–25)
What This Means (2024 FDD)
According to the 2024 Gokhale Method Franchise Disclosure Document, Gokhale Method uses certain unregistered trademarks, including "Primal PostureTM", "Gokhale Pain Free ChairTM", "Pendo PressTM", "SpineTrackerTM", and "PostureTrackerTM". Because these marks are not federally registered, they lack the legal protections afforded to registered trademarks.
If Gokhale Method's right to use these unregistered trademarks is challenged, a franchisee may be required to switch to an alternative trademark. This change could lead to increased expenses for the franchisee as they rebrand their business.
While Gokhale Method states that they will indemnify franchisees against damages from authorized use of marks, this may not extend to costs incurred from switching trademarks if the unregistered marks face legal challenges. Prospective franchisees should consider the potential costs and disruptions associated with rebranding if the franchisor's use of unregistered marks is challenged.