Can the 'Marks' used by Gold Star franchisees be modified by the company?
Gold_Star Franchise · 2025 FDDAnswer from 2025 FDD Document
- 6.6 Modification, Discontinuation.
If it becomes advisable at any time in the COMPANY's sole discretion for the COMPANY and/or FRANCHISEE to modify or discontinue use of any of the Marks, and/or to use one or more additional or substitute marks, names, logos or indicia, FRANCHISEE agrees to do so at its expense within a reasonable time after the COMPANY so instructs FRANCHISEE in writing.
Source: Item 23 — Receipts (FDD pages 53–163)
What This Means (2025 FDD)
According to Gold Star's 2025 Franchise Disclosure Document, Gold Star has the authority to modify or discontinue the use of any of its Marks. If Gold Star decides to modify or discontinue any Marks, or to use additional or substitute marks, names, logos, or indicia, the franchisee must comply. The franchisee is responsible for the expense of implementing these changes within a reasonable timeframe after receiving written instructions from Gold Star.
This provision ensures that Gold Star can maintain a consistent brand image and adapt to market changes or legal requirements. It also allows Gold Star to update its branding and marketing strategies across all franchise locations. Franchisees must be prepared to invest in these changes to remain compliant with the franchise agreement.
While franchisees bear the cost of these modifications, Gold Star warrants that it has the rights to license the Marks and that the franchisee's use of them will not infringe on the rights of others. Gold Star also agrees to take necessary actions to protect the Marks and associated goodwill. This includes preventing infringement of the Marks or any actions that could diminish the goodwill associated with them. Franchisees are required to notify Gold Star promptly of any potential infringement or legal challenges involving the Marks.