What must an Itan franchisee do with fictitious or assumed name registrations after termination, expiration, or transfer of the agreement?
Itan Franchise · 2025 FDDAnswer from 2025 FDD Document
- 21.1. Obligations of You and the Owners. After the termination, expiration or Transfer of this Agreement, you and the Owners agree to:
- (a) immediately cease use of the Intellectual Property;
- (b) comply with all post-term covenants described in §14 or a Franchise Owner Agreement;
- (c) cancel all fictitious or assumed name registrations relating to your use of the Marks;
- (d) pay us all amounts you owe including, if applicable, liquidated damages pursuant to §21.3;
- (e) comply with our data retention policies relating to Business Data;
- (f) transfer Customer Data (and, if we so request, assign all customer contracts) to us or our designee;
Source: Item 23 — RECEIPT (FDD pages 44–190)
What This Means (2025 FDD)
According to Itan's 2025 Franchise Disclosure Document, after the termination, expiration, or transfer of the Franchise Agreement, the franchisee and owners must cancel all fictitious or assumed name registrations relating to the use of Itan's marks. This requirement is part of the post-term obligations that franchisees must adhere to.
This obligation ensures that upon leaving the Itan franchise system, the former franchisee does not continue to operate or represent themselves as being affiliated with Itan. By canceling the fictitious or assumed name registrations, the franchisee severs any legal connection between their business operations and the Itan brand, preventing potential confusion among customers and protecting Itan's brand identity.
It is important for prospective Itan franchisees to understand all post-term obligations, as failure to comply can result in legal and financial repercussions. Franchisees should consult with legal counsel to ensure they fully understand their responsibilities upon termination, expiration, or transfer of their franchise agreement.