What is the Noodles & Company franchisee's obligation if Noodles & Company decides to modify or discontinue the use of any Mark?

According to the 2025 Noodles & Company Franchise Disclosure Document, if Noodles & Company decides to modify or discontinue the use of any Mark, franchisees must comply with the company's directions within a reasonable time after receiving notice. This includes adopting additional or substitute trademarks, service marks, or trade dress.

This obligation extends to bearing all costs and expenses applicable to the franchisee's Noodles & Company restaurant that arise from the modification of existing Marks or the adoption of new ones. It is important to note that Noodles & Company assumes no liability or obligation for any required modification or discontinuance of any Mark, nor for the promotion of any substitute trademark, service mark, or trade dress.

In practical terms, this means a Noodles & Company franchisee could face unexpected expenses if the brand decides to rebrand or update its image. These costs could include new signage, marketing materials, and other changes necessary to align the restaurant with the updated branding. The franchisee is responsible for these costs, and Noodles & Company offers no financial assistance or compensation for these changes. This is a potentially significant financial risk that prospective franchisees should carefully consider.

While it is common for franchisors to update their branding periodically, the FDD makes it clear that Noodles & Company franchisees bear the full financial burden of these changes. Franchisees should inquire about the likelihood and potential costs of such changes during their due diligence process.