Is Hyper Kidz always the owner of the Copyrighted Works used in the operation of the Hyper Kidz Business?
Hyper_Kidz Franchise · 2024 FDDAnswer from 2024 FDD Document
You and we acknowledge and agree (a) that we may authorize you to use, in connection with the operation of the Hyper Kidz Business, certain copyrighted or copyrightable works which shall be referred to herein as the "Copyrighted Works"; (b) that the Copyrighted Works are our valuable property; or the property of the copyright owner, who may not be us, and (c) that the rights herein are granted to you solely on the condition that you comply with the terms of this Article. You acknowledge and agree that we own or are the licensee of the owner of the Copyrighted Works and will further create, acquire or obtain licenses for certain copyrights in various works of authorship used in connection with the operation of Hyper Kidz Businesses. Such Copyrighted Works include the Operations Manual and may include all or part of the Marks, Trade Dress, Design Specifications and other portions of the System. We intend that all works of authorship related to the System and created in the future will be owned by us.
Source: Item 22 — CONTRACTS (FDD page 52)
What This Means (2024 FDD)
According to the 2024 Hyper Kidz Franchise Disclosure Document, Hyper Kidz may not always be the owner of the Copyrighted Works used in the operation of a Hyper Kidz Business. While Hyper Kidz intends to own all future works of authorship related to the System, the Copyrighted Works may be the property of Hyper Kidz or the property of a copyright owner who is not Hyper Kidz.
For a prospective franchisee, this means that the right to use certain copyrighted materials is granted on the condition that the franchisee complies with the terms outlined in the franchise agreement. These Copyrighted Works include the Operations Manual and may include all or part of the Marks, Trade Dress, Design Specifications and other portions of the System.
The franchisee's right to use the Copyrighted Works is derived solely from the franchise agreement and is limited to the use of such works in compliance with the agreement. The franchisee must ensure that all Copyrighted Works used bear an appropriate copyright notice specifying Hyper Kidz as the owner. The agreement does not confer any interest in the Copyrighted Works upon the franchisee other than the right to operate the Hyper Kidz Business in compliance with the agreement. If the franchisee prepares any adaptation, translation, or derivative work of the Copyrighted Works, it becomes the property of Hyper Kidz.