factual

What section of the Precision Door Service agreement addresses successors and assigns?

Precision_Door_Service Franchise · 2025 FDD

Answer from 2025 FDD Document

  • F. Creative Works. All ideas, business ventures, concepts, inventions, techniques, or materials concerning a PRECISION GARAGE DOOR SERVICE® Business, whether or not protectable Intellectual Property and whether created by or for you or one of your owners or employees, must be promptly disclosed to us and will be deemed to be solely and exclusively our property, part of the System, and "works made-for-hire," as the phrase is defined in the Copyright Act of 1976 (17 U.S.C. 101 et seq.), for us. To the extent any item does not qualify as a "work made-for-hire" for us, by operation of law or otherwise, you agree to assign and hereby irrevocably assign, for no additional consideration, ownership of that item, and all related rights to that item, to us, our successors and assigns, including without limitation, the right to sue, counterclaim, and recover for all past, present, and future infringement, misappropriation, or dilution thereof, and all rights corresponding thereto throughout the world and agree to take whatever action (including signing an assignment agreement or other documents) we request to show our ownership or to help us obtain intellectual property rights in the item. Notwithstanding anything to the contrary, neither the expiration nor the termination of this Agreement shall affect our ownership of the items herein or alter any of our rights or privileges hereunder.

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

What This Means (2025 FDD)

Based on the 2025 Franchise Disclosure Document, Section 8.F of the Precision Door Service franchise agreement addresses successors and assigns. This section stipulates that all creative works, including ideas, business ventures, concepts, inventions, techniques, or materials related to the Precision Door Service business, whether or not they are protectable intellectual property, are the exclusive property of Precision Door Service. This applies regardless of who creates them—the franchisee, their owners, or their employees. Franchisees must promptly disclose any such creations to Precision Door Service.

To ensure Precision Door Service's ownership, these creations are considered "works made-for-hire" under the Copyright Act of 1976. If any item does not legally qualify as a "work made-for-hire," the franchisee agrees to irrevocably assign ownership and all related rights to Precision Door Service, including the right to pursue legal action for infringement or misappropriation. This assignment is made without any additional compensation to the franchisee.

Furthermore, franchisees must take any action requested by Precision Door Service to demonstrate the franchisor's ownership or to help secure intellectual property rights in these items. This includes signing assignment agreements or other necessary documents. The franchisor's ownership and rights remain in effect even after the franchise agreement expires or terminates. This ensures that Precision Door Service maintains control over all aspects of its system and intellectual property, even after a franchisee leaves the system.

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.