What is the Spray Net franchisee prohibited from doing regarding the franchisor's proprietary rights?
Spray_Net Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee acknowledges that the Proprietary Marks, System, Manuals, and all other information and items delivered to Franchisee by Franchisor under this Agreement or in furtherance of the System, including without limitation, signage, video and audio tapes or disks, information communicated by electronic means, and intellectual property, are the sole and exclusive property of Franchisor, and Franchisee's right to use the same are contingent upon Franchisee's continued full and timely performance under this Agreement.
Franchisee acknowledges it acquires no rights, interests, or claims to any of said property, except for Franchisee's rights to use the same under this Agreement for the term hereof and strictly in the manner prescribed.
Franchisee agrees that it will not, during the term of this Agreement or any time
thereafter, contest or challenge the sole and exclusive proprietary rights of Franchisor (and, if appropriate, Franchisor's affiliates) to the Proprietary Marks, System, Manuals, and other information, intellectual property, and items delivered or provided or to which Franchisee obtains access under this Agreement, nor shall Franchisee claim any proprietary interest in such property. Franchisee agrees that it will not adopt, display, attempt to register or otherwise use any names, marks, insignias, or symbols in any business that are or may be confusingly similar to the Proprietary Marks licensed under this Agreement.
Source: Item 23 — RECEIPTS (FDD pages 75–219)
What This Means (2025 FDD)
According to Spray Net's 2025 Franchise Disclosure Document, franchisees face several restrictions regarding the franchisor's proprietary rights. Spray Net franchisees acknowledge that the Proprietary Marks, System, Manuals, and all other information are the sole and exclusive property of Spray Net. Franchisees only have the right to use these items as prescribed in the agreement.
Spray Net franchisees cannot contest or challenge Spray Net's exclusive rights to the Proprietary Marks, System, Manuals, and other intellectual property. This restriction extends both during the term of the Franchise Agreement and at any time thereafter. Additionally, franchisees are prohibited from claiming any proprietary interest in Spray Net's property.
Furthermore, franchisees are not allowed to adopt, display, attempt to register, or use any names, marks, insignias, or symbols in any business that are or may be confusingly similar to the Proprietary Marks licensed under the Franchise Agreement. This prevents franchisees from creating any potential brand confusion or infringing on Spray Net's intellectual property rights.