factual

Who controls litigation if someone infringes on the Precision Door Service Marks?

Precision_Door_Service Franchise · 2025 FDD

Answer from 2025 FDD Document

If any person or entity improperly uses or infringes the Marks or challenges your use or our use or ownership of or the validity of the Marks, we will control all litigation and other proceedings and we have the right to determine whether suit or other proceeding will be instituted, prosecuted or settled, the terms of settlement and whether any other action will be taken.

You must promptly notify us of any such use or infringement of which you become aware or any challenge or claim arising out of your use of any Mark.

You must take reasonable steps, without compensation, to assist us with any action we undertake.

We will be responsible for our fees and expenses incurred in connection with any such action, unless the challenge or claim results from your misuse of the Marks in violation of this Agreement, in which case you must pay us for our costs and expenses including our attorney's fees.

Provided that you are using the Marks in compliance with the terms of this Agreement, we will defend, at our own expense, any action against you brought by a third party alleging that any of the Marks infringes any U.S. trademark of a third party, and we will pay those costs and damages finally awarded against you in any such action that are specifically attributable to such claim or those costs and damages agreed to in a monetary settlement of such action. The foregoing obligations are conditioned on you: (i) notifying us promptly in writing of such action; (ii) giving us sole control of the defense thereof and any related settlement negotiations; and (iii) cooperating and, at our request and expense, assisting in such defense.

Source: Item 22 — Contracts (FDD pages 91–92)

What This Means (2025 FDD)

According to Precision Door Service's 2025 Franchise Disclosure Document, Precision Door Service maintains control over any litigation regarding the misuse or infringement of its trademarks. This includes the decision to initiate, prosecute, or settle any legal proceedings related to the Precision Door Service marks.

As a Precision Door Service franchisee, you are obligated to promptly inform Precision Door Service of any observed misuse or infringement of the marks. Additionally, you must provide reasonable assistance to Precision Door Service in any legal actions they undertake. However, you will not be compensated for this assistance.

Precision Door Service will cover the expenses associated with these legal actions, unless the legal challenge arises from your misuse of the marks in violation of the franchise agreement. In such cases, you will be responsible for covering Precision Door Service's costs, including attorney's fees. If a third party brings an action against you alleging trademark infringement, Precision Door Service will defend you at its own expense, provided you are using the marks in compliance with the agreement. Precision Door Service will also cover costs and damages awarded against you or agreed upon in a settlement, as long as you promptly notify them of the action, allow them sole control of the defense and settlement negotiations, and cooperate in the defense.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.