Who determines how telephone/facsimile numbers and domain names are handled after a Spray Net franchise is terminated?
Spray_Net Franchise · 2025 FDDAnswer from 2025 FDD Document
- C. Assignment of Approved Services Contracts, Telephone/Facsimile Numbers and Domain Names.
Take such action as may that Franchisor designates to: (i) provide and assign to Franchisor the then-current and up-to-date (a) Client and property lists, and (b) any Approved Services contracts and other agreements between Clients and the former Franchised Business; and (ii) transfer, disconnect, forward, or assign all telephone/facsimile numbers and domain names used in connection with the former Franchised Business, as well as any white and yellow page telephone references, advertisements, and all trade and similar name registrations and business licenses to Franchisor or its designee and cancel any interest which Franchisee may have in the same (as Franchisor directs in its sole discretion).
Franchisee agrees to execute all documents necessary to comply with the obligations of this Section, including the
Source: Item 23 — RECEIPTS (FDD pages 75–219)
What This Means (2025 FDD)
According to Spray Net's 2025 Franchise Disclosure Document, Spray Net retains significant control over the handling of telephone/facsimile numbers and domain names upon termination of a franchise agreement. Specifically, the franchisee must transfer, disconnect, forward, or assign all telephone/facsimile numbers and domain names used in connection with the former franchised business to Spray Net or its designee. This includes any white and yellow page telephone references, advertisements, and all trade and similar name registrations and business licenses. The franchisee must also cancel any interest they may have in these assets, as directed by Spray Net at its sole discretion.
To ensure compliance, the franchisee is obligated to execute all necessary documents to fulfill these obligations. If the franchisee fails to take these required actions, they irrevocably appoint Spray Net as their attorney-in-fact to direct and accomplish such transfers. This provision underscores Spray Net's authority to manage these assets to prevent public confusion and maintain brand consistency after a franchise ceases operation.
This arrangement is formalized through a conditional assignment agreement, where the franchisee conditionally assigns all telephone numbers, facsimile numbers, and domain names to Spray Net. This assignment becomes automatically effective upon the termination or expiration of the franchise. The franchisee is responsible for paying all amounts owed for the use of the assigned property up to the date the assignment becomes effective and must indemnify Spray Net for any sums Spray Net pays to effectuate the agreement. This ensures a smooth transition of these assets back to Spray Net's control, minimizing disruption and protecting the brand's presence in the market.