In which New York counties is a Healthsource Chiropractic franchisee prohibited from using the HealthSource Chiropractic mark?
Healthsource_Chiropractic Franchise · 2025 FDDAnswer from 2025 FDD Document
r use of "HealthSource Chiropractic" on the internet does not infringe on Dr. Dudley's right to use the mark in the Rochester, New York area.
The only issue that remained for determination by the Court related to the extent of Dr. Dudley's right to the "HealthSource Chiropractic" mark in the Rochester, New York area. In February 2013, we verbally settled the remaining issue with Dr. Dudley by agreeing not to use the HealthSource Chiropractic mark (or the name HealthQuest) in the counties of Wayne, Ontario, Livingston, Orleans, Genesee and Monroe in the State of New York and for a payment of $20,000.00. The settlement documents were completely signed by the parties on December 5, 2013 and the lawsuit was dismissed on March 6, 2014, with prejudice. Thus, if you purchase a franchise from us in the counties of Wayne, Ont
Source: Item 13 — Trademarks (FDD pages 47–50)
What This Means (2025 FDD)
According to the 2025 Healthsource Chiropractic Franchise Disclosure Document, a settlement agreement restricts the use of the HealthSource Chiropractic mark in specific New York counties. This agreement stems from a legal dispute with Dr. Dudley regarding intellectual property rights in the Rochester, New York area. The settlement, reached in February 2013 and finalized in December 2013, involved Healthsource Chiropractic agreeing not to use the HealthSource Chiropractic mark (or the name HealthQuest) in certain counties and a payment of $20,000.00.
Specifically, if a prospective franchisee is considering opening a Healthsource Chiropractic franchise in the New York counties of Wayne, Ontario, Livingston, Orleans, Genesee, and Monroe, they are prohibited from using the HealthSource Chiropractic mark. This restriction is a significant consideration for anyone looking to establish a franchise in these areas, as it directly impacts branding and marketing strategies. The lawsuit was dismissed on March 6, 2014, with prejudice, meaning it cannot be brought again.
This restriction does not appear to extend to other areas, as the FDD states that Healthsource Chiropractic does not know of other superior prior rights or infringing uses that could materially affect a franchisee's use of the marks in other states. However, the document also acknowledges the possibility that the marks may have been used by others, and the franchisor cannot guarantee exclusive or superior rights to the marks in all geographic areas. Therefore, prospective franchisees should conduct their own due diligence and seek legal counsel to ensure they can fully utilize the HealthSource Chiropractic mark in their desired location, outside of the restricted New York counties.