After the Kidokinetics franchise agreement terminates or expires, what must a franchisee immediately cease doing regarding the Kidokinetics business?
Kidokinetics Franchise · 2024 FDDAnswer from 2024 FDD Document
- 17.1. Franchisee's Obligations. Upon termination or expiration of this Agreement, all rights and licenses granted hereunder to Franchisee will immediately terminate and Franchisee and each Principal, if any, shall:
- 17.1.1. immediately cease to operate the Kidokinetics Business, and not, directly or indirectly, identify himself, herself or itself as a current or former Kidokinetics Business owner, franchisee or licensee;
- 17.1.2. immediately and permanently cease to use the Marks, any imitation of any Mark or other indicia of a Kidokinetics Business, or use any trade name, trade or service mark or other commercial symbol that suggests an association with Franchisor, Licensor, or the System. In particular, Franchisee shall cease to use, without limitation, all signs, advertising materials, displays, vehicle wraps, stationery, forms and any other articles, which display the Marks;
- 17.1.3. take such action as may be necessary to cancel any assumed name or equivalent registration that contains the Mark or any other service mark or trademark of Franchisor, and Franchisee shall furnish Franchisor with evidence of compliance with this obligation, which is satisfactory to Franchisor, within five (5) days after termination or expiration of this Agreement;
Source: Item 22 — CONTRACTS (FDD page 59)
What This Means (2024 FDD)
According to Kidokinetics's 2024 Franchise Disclosure Document, upon termination or expiration of the franchise agreement, a franchisee must immediately cease certain activities related to the Kidokinetics business. Specifically, the franchisee must stop operating the Kidokinetics business and cannot directly or indirectly present themselves as a current or former Kidokinetics business owner, franchisee, or licensee.
Furthermore, the franchisee must immediately and permanently discontinue the use of any Kidokinetics trademarks, imitations of those marks, or any other symbols that suggest an association with the franchisor, licensor, or the Kidokinetics system. This includes, but is not limited to, ceasing the use of all signs, advertising materials, displays, vehicle wraps, stationery, forms, and any other items that display the Kidokinetics marks.
Additionally, the franchisee is required to take necessary actions to cancel any assumed name registrations that contain the Kidokinetics mark or any other service mark or trademark of the franchisor. Evidence of compliance with this obligation must be provided to Kidokinetics within five days after the termination or expiration of the agreement. These post-termination obligations are designed to protect the Kidokinetics brand and prevent confusion in the marketplace after a franchise agreement ends.