Is a franchisee permitted to contest the validity or ownership of Jersey Mike's marks?
Jersey_Mikes Franchise · 2025 FDDAnswer from 2025 FDD Document
All usage of the marks by you and any goodwill established from their use will exclusively benefit Company. You are prohibited from contesting the validity or ownership of any marks or assisting any other person in contesting the validity or ownership of any marks during the term of the Franchise Agreement or at any time after the Franchise Agreement expires or is terminated.
Source: Item 13 — TRADEMARKS (FDD pages 53–55)
What This Means (2025 FDD)
According to Jersey Mike's 2025 Franchise Disclosure Document, franchisees are explicitly prohibited from contesting the validity or ownership of any of Jersey Mike's trademarks, both during the term of the Franchise Agreement and at any time after the agreement expires or is terminated. This restriction is a standard practice in franchising, as the franchisor's trademarks are a critical asset and represent the brand's identity and reputation.
This means that a franchisee cannot challenge Jersey Mike's ownership or rights to use its trademarks like "JERSEY MIKE'S", "MIKE'S WAY", or any associated logos. The franchisee also cannot assist any other party in contesting these marks. This provision protects Jersey Mike's brand and ensures uniformity across all franchise locations.
The FDD also states that all usage of the marks by the franchisee and any goodwill established from their use will exclusively benefit Jersey Mike's. This reinforces the franchisor's ownership and control over its trademarks. Franchisees must also notify Jersey Mike's of any potential infringement or claims against the marks and cooperate in protecting them. This obligation ensures that Jersey Mike's can take appropriate action to defend its trademarks and maintain brand integrity.
For a prospective franchisee, this means understanding that they are investing in a system where the brand's intellectual property is strictly controlled by Jersey Mike's. While franchisees benefit from using these established trademarks, they also have a responsibility to protect them and cannot challenge Jersey Mike's rights to them.