Are there any restrictions on how a franchisee can use the Gold Star trademarks?
Gold_Star Franchise · 2025 FDDAnswer from 2025 FDD Document
ts is not dependent upon the achievement of a certain sales volume, market penetration or other contingency.
Item 13
Trademarks
Gold Star licenses you to use Marks containing the words "Gold Star" and "Gold Star Chili," and any other current or future Marks that Gold Star authorizes in writing, to identify your Franchise business. The primary trademarks, names, symbols and logos currently licensed to you to identify your Franchise business are set forth in Exhibit A to the Franchise Agreement. The Marks may be used only in operating the Restaurant and only subject to the terms and conditions set forth in the Franchise Agreement and any other rules of Gold Star set forth in the Manual or otherwise. The Franchise Agreement and these other rules impose various restrictions on your use of the Marks.
In the United States, Gold Star has registered the following primary trademarks, names, symbols and logos with the United States Patent and Trademark Office on the principal register:
| Mark | Registration No. | Date Registered | Status | |---|---|---|---| | | 1,338,458 | May 28, 1985 | Renewal due May 28, | | | | | 2035. | | | 1,870,700 | Dec. 27, 1994 | Renewal due June 27, | | | | | 2025. | | GOLD STAR | 1,960,628 | March 5, 1996 | Renewal due March 5, | | | | | 2026. | | | 5,673,572 | February 12, 2019 | Renewal due February | | | | | 12, 2029. | Gold Star is currently in the process of modernizing its trademarks and will be transitioning the System to use the marks in the chart below in the coming months and years. In the United States, Gold Star has filed "intent to use" applications with respect to these trademarks, names, symbols and logos with the United States Patent and Trademark Office, with the intent of ultimately registering them on the principal register. With respect to these marks only, we do not have a federal registration for these marks. Therefore, these marks do not have many legal benefits and
rights as a federally registered trademark. If our right to use these marks are challenged, you may have to change to an alternative trademark, which may increase your expenses.
| Mark | Registration No. | Date Registered | Status | |---|---|---|---| | | 1,338,458 | May 28, 1985 | Renewal due May 29, | | | | | 2029. | | | 1,870,700 | Dec. 27, 1994 | Renewal due June 27, | | | | | 2025. | | GOLD STAR | 1,960,628 | March 5, 1996 | Renewal due March 5, | | | | | 2026. | | GOLD STAR GRILL | 3,099,303 | May 30, 2006 | Renewal due May 30, | | | | | 2026. | | | 3,239,238 | May 08, 2007 | Renewal due May 8, | | | | | 2027. | | | 5,673,572 | February 12, 2019 | Renewal due February | | | | | 12, 2029. | | | 5,808,115 | July 16, 2019 | Affidavit of Use due | | | | | July 16, 2029. | | | 6,364,766 | May 25, 2021 | Affidavit of Use due | | | | | May 25, 2027. | There are no currently effective material determinations of the United States Patent and Trademark Office, trademark trial and appeal board, the trademark administrator of this state or any court, and there are no pending infringement, opposition or cancellation proceedings, nor any pending material litigation, involving the primary trademarks, service marks, names, logos and symbols licensed to, and to be used by, you to identify the Franchise business.
There are no agreements currently in effect that significantly limit the rights of Gold Star to use or license the use of the primary trademarks, service marks, names, logos and symbols licensed to, and to be used by, you to identify the Franchise business, in any manner material to the Franchise.
You must notify Gold Star promptly of any claim, demand or legal action by any third party involving the Marks or any potentially infringing use of the Marks, or any mark, name, logo or symbol identical to or confusingly similar to any of the Marks. Under the Franchise Agreement, Gold Star agrees to take whatever actions it deems reasonably necessary to protect the Marks and the goodwill associated therewith. Gold Star retains the exclusive right, in its sole discretion exercised in good faith, to determine and undertake the actions, if any, that it deems appropriate to prevent the infringement of the Marks or the diminution of the goodwill in the Marks.
Source: Item 13 — Trademarks (FDD pages 37–40)
What This Means (2025 FDD)
According to the 2025 Gold Star Franchise Disclosure Document, Gold Star franchisees are granted a license to use specific trademarks, including those containing the words "Gold Star" and "Gold Star Chili," as well as any other trademarks Gold Star authorizes in writing. These trademarks are detailed in Exhibit A of the Franchise Agreement and can only be used in the operation of the restaurant. The use of these marks is subject to the terms and conditions outlined in the Franchise Agreement and any other rules set forth by Gold Star in its manual or other written directives. These documents impose various restrictions on how the franchisee can use the marks.
The Franchise Agreement also stipulates that franchisees must promptly notify Gold Star of any claims or legal actions involving the trademarks or any potentially infringing use. Gold Star retains the exclusive right to determine and undertake actions to protect the trademarks and associated goodwill. If a third party sues a franchisee over the use of the marks, Gold Star may assume the defense and indemnify the franchisee against damages if the franchisee provides timely notice, cooperates fully with Gold Star's counsel, and allows Gold Star to control the defense strategy. The franchisee is obligated to execute necessary documents to aid in the defense or prosecution of any litigation related to the trademarks.
Furthermore, the Franchise Agreement prohibits franchisees from contesting the validity, ownership, or enforceability of any Gold Star trademarks. If Gold Star deems it necessary to modify or discontinue the use of any trademarks, franchisees must comply at their own expense within a reasonable time frame. While Gold Star states that it is not aware of any superior prior rights or infringing uses that could materially affect a franchisee's use of the trademarks, the company is currently modernizing its trademarks and transitioning the system to new marks. These new marks are currently under "intent to use" applications, and if the right to use these marks is challenged, franchisees may need to change to alternative trademarks, potentially increasing their expenses.