What must a Gold Star franchisee immediately cease to use in connection with the Business after termination or expiration?
Gold_Star Franchise · 2025 FDDAnswer from 2025 FDD Document
n terminated, the FRANCHISEE may be enjoined from any continued operation of the Store, or any other operation in violation of this Agreement.
15. RIGHTS AND OBLIGATIONS OF PARTIES ON TERMINATION OR EXPIRATION.
- 15.1 De-Identification; Wind-Down of Business. Upon the termination or expiration of this Agreement, or upon the permanent closing or abandonment of the Store or the Business, the following provisions shall apply:
- 15.1.1 All rights, privileges and licenses granted by the COMPANY to FRANCHISEE will immediately cease, be null and void, and of no further force and effect, and all such privileges and licenses will immediately revert to the COMPANY.
- 15.1.2 FRANCHISEE shall immediately discontinue the use of the System and the Marks. All rights granted herein with respect to the Marks and System shall thereupon be deemed canceled and terminated.
- 15.1.3 Unless FRANCHISEE receives written notice of the COMPANY's exercise of its options set forth in Section 15.2 below, after thirty (30) days have elapsed since the effective date of termination, FRANCHISEE shall immediately remove the Marks from all buildings, signs, fixtures and furnishings, and within thirty (30) days' after written notice from the COMPANY, alter and paint all structures and other improvements maintained pursuant to this Agreement a design and color which is basically different from the COMPANY's authorized building design and painting schedule and otherwise assist COMPANY in every way possible to bring about a complete and effective wind-down and de-identification of the Business. If FRANCHISEE shall fail to make or cause to be made any such removal, alteration or repainting, then the COMPANY shall have the right to enter upon the Retail Location, without being deemed guilty of trespass or any other tort or civil wrong, and make or cause to be made such removal, alterations and repainting at the reasonable expense of FRANCHISEE, which expense FRANCHISEE shall pay the COMPANY upon demand. FRANCHISEE shall not be deemed to have waived any rights which FRANCHISEE may have under any Franchise Law by reason
- of this Section 15.1.2. If FRANCHISEE receives written notice of the COMPANY's exercise of its options set forth in Section 15.2 below, the FRANCHISEE shall complete the foregoing requirements as reasonably directed by the COMPANY.
Source: Item 23 — Receipts (FDD pages 53–163)
What This Means (2025 FDD)
According to Gold Star's 2025 Franchise Disclosure Document, upon termination or expiration of the franchise agreement, a franchisee must immediately discontinue the use of the System and the Marks. All rights granted with respect to the Marks and System are immediately canceled and terminated. The franchisee must also immediately cease to use all existing telephone numbers and listing services in connection with the Business and direct the service provider to transfer such numbers and listings to Gold Star.
After thirty days from the termination date, the franchisee must remove the Marks from all buildings, signs, fixtures, and furnishings. Within thirty days of written notice from Gold Star, the franchisee must alter and paint all structures to a design and color different from Gold Star's authorized design and painting schedule. This ensures a complete de-identification of the business. If the franchisee fails to do so, Gold Star has the right to enter the Retail Location and make these changes at the franchisee's expense.
Furthermore, the franchisee cannot use any trademark, trade name, logo, insignia, copyright, slogan, emblem, symbol, design, package design, distinctive building design, or other identifying characteristic associated with Gold Star. They also cannot operate under any name that might give the public the impression that they are still associated with Gold Star. The franchisee must also cancel any assumed name registrations containing the Marks and provide evidence of compliance to Gold Star within forty-five days after termination.
These measures are in place to protect Gold Star's brand identity and prevent customer confusion after a franchise agreement ends. Franchisees should be aware of these obligations and the associated costs of de-identification when considering a Gold Star franchise.