What constitutes an infringement of Healthsource Chiropractic's rights in and to the Marks by a franchisee?
Healthsource_Chiropractic Franchise · 2025 FDDAnswer from 2025 FDD Document
Your right to use the Marks is derived solely from your Franchise Agreement, and is limited to your conduct of business in compliance with the Franchise Agreement and all applicable specifications, standards, and operating procedures we prescribe during the term of your franchise, including, without limitation, timely payment of the Initial Franchise Fee, Continuing Franchise Fees, Advertising Fees, and all other sums due to us. Any unauthorized use of the Marks by you will constitute an infringement of our rights in and to the Marks. Your use of the Marks and any goodwill established by them will be for our exclusive benefit, and your Franchise Agreement does not confer any goodwill or other interests in the Marks upon you. All provisions of your Franchise Agreement applicable to the Marks will apply to any additional proprietary trade and service marks and commercial symbols authorized for use by, and licensed to you under, your Franchise Agreement. You may not at any time during or after the term of your franchise contest, or assist any other person in contesting, the validity or ownership of any of the Marks.
You must use the Marks as the sole identification of your franchise, but must also identify yourself as the independent owner of the franchise in the manner we prescribe. You may not use any Mark as part of any corporate or trade name, or with any prefix, suffix, or other modifying words, terms, designs or symbols, or in any modified form. You also may not use any Mark with the sale of any unauthorized service, to promote any business or commercial venture other than your Clinic franchise, or in any manner we have not expressly authorized in writing. You must prominently display the Marks on or with franchise posters and displays, service contracts, stationery, other forms we designate, and in the manner we prescribe; to give any notices of trade and service mark registrations and copyrights that we specify; and to obtain any fictitious or assumed name registrations that may be required under applicable law.
You must immediately notify us of any apparent use of, or claims of rights to a trademark identical to or confusingly similar to the Marks. You may not communicate with any person other than us and our counsel about the apparent infringement, challenge, or claim. We and our affiliates
Source: Item 13 — Trademarks (FDD pages 47–50)
What This Means (2025 FDD)
According to Healthsource Chiropractic's 2025 Franchise Disclosure Document, a franchisee's unauthorized use of the Marks will constitute an infringement of Healthsource Chiropractic's rights. The franchisee's right to use the Marks is derived solely from the Franchise Agreement and is limited to conducting business in compliance with the Franchise Agreement, including adhering to all specifications, standards, and operating procedures prescribed by Healthsource Chiropractic. This includes timely payment of the Initial Franchise Fee, Continuing Franchise Fees, Advertising Fees, and all other sums due to Healthsource Chiropractic.
The franchisee must use the Marks as the sole identification of their franchise and identify themselves as the independent owner in the manner prescribed by Healthsource Chiropractic. The franchisee cannot use any Mark as part of any corporate or trade name, or with any prefix, suffix, or other modifying words, terms, designs, or symbols, or in any modified form. Additionally, the franchisee cannot use any Mark with the sale of any unauthorized service, to promote any business or commercial venture other than their Clinic franchise, or in any manner not expressly authorized in writing by Healthsource Chiropractic.
The franchisee is required to prominently display the Marks on franchise posters, displays, service contracts, stationery, and other designated forms, and to provide any notices of trade and service mark registrations and copyrights as specified by Healthsource Chiropractic. They must also obtain any fictitious or assumed name registrations required by applicable law. Furthermore, the franchisee must immediately notify Healthsource Chiropractic of any apparent use of, or claims of rights to a trademark identical or confusingly similar to the Marks and must not communicate with any person other than Healthsource Chiropractic and its counsel about the apparent infringement, challenge, or claim.