What does a Monicals Pizza franchisee agree to assign regarding intellectual property developed?
Monicals_Pizza Franchise · 2025 FDDAnswer from 2025 FDD Document
All ideas, concepts, techniques or materials concerning the System or developed, in whole or in part, using Trade Secrets or other Confidential Information, whether or not protectable intellectual property and whether created by or for Franchisee or its owners or employees, shall be promptly disclosed to Franchisor and shall be deemed the sole and exclusive property of Franchisor and works made-for-hire for Franchisor, and no compensation shall be due to Franchisee or its owners or employees therefore, and Franchisee hereby agrees to assign to Franchisor all right, title and interest in any intellectual property so developed. Franchisor has the right to incorporate such items into the System. To the extent any item does not qualify as a "work made-for-hire" for Franchisor, Franchisee shall assign, and by this Agreement, does assign, ownership of that item, and all related rights to that item, to Franchisor and shall sign any assignment or other document as Franchisor requests to assist Franchisor in obtaining or preserving intellectual property rights in the item. Franchisor shall disclose to Franchisee concepts and developments of other franchisees that are made part of the System. As Franchisor may reasonably request, Franchisee shall take all actions to assist Franchisor's efforts to obtain or maintain intellectual property rights in any item or process related to the System, whether developed by Franchisee or not.
Source: Item 14 — PATENTS, COPYRIGHTS AND PROPRIETARY INFORMATION (FDD pages 30–31)
What This Means (2025 FDD)
According to Monicals Pizza's 2025 Franchise Disclosure Document, franchisees must assign all rights to intellectual property developed related to the Monicals Pizza system. This includes any ideas, concepts, techniques, or materials concerning the system, even if they could be protected by intellectual property laws. This applies whether these developments are created by the franchisee, their owners, or employees, and if they utilize trade secrets or confidential information.
The franchisee is required to promptly disclose any such developments to Monicals Pizza. These developments are considered the sole and exclusive property of Monicals Pizza and are treated as works made for hire. The franchisee will not receive any compensation for these developments. The franchisee agrees to sign any documents necessary to assist Monicals Pizza in securing or maintaining intellectual property rights.
Monicals Pizza, in turn, will disclose concepts and developments from other franchisees that become part of the overall Monicals Pizza system to the franchisee. Additionally, the franchisee is obligated to assist Monicals Pizza in obtaining or maintaining intellectual property rights related to the system, regardless of who developed them. This clause ensures that Monicals Pizza maintains control over all aspects of its brand and operating system, while also potentially benefiting franchisees by incorporating successful ideas from others in the network.