According to the Stretch Zone FDD, who owns the Intellectual Property?
Stretch_Zone Franchise · 2025 FDDAnswer from 2025 FDD Document
ARTICLE 5 - INTELLECTUAL PROPERTY
Section 5.1 OUR REPRESENTATIONS AS TO THE INTELLECTUAL PROPERTY
We represent to you that:
- (a) Ownership. We are the sole owner of the Intellectual Property.
- (b) Protection. We will take all steps necessary to preserve and protect the ownership and validity of the Intellectual Property.
Source: Item 8 — Receipts. Any sale made must be in compliance with § 683(8) of the Franchise Sale Act (N.Y. Gen. Bus. L. § 680 et seq.), which describes the time period a Franchise Disclosure Document (offering prospectus) must be provided to a prospective franchisee before a sale may be made. New York law requires a franchisor to provide the Franchise Disclosure Document at the earliest of the first personal meeting or ten (10) business days before the execution of the franchise or other agreement or the payment of any consideration that relates to the franchise relationship. (FDD pages 99–263)
What This Means (2025 FDD)
According to the 2025 Stretch Zone FDD, Stretch Zone represents that they are the sole owner of the Intellectual Property. This means Stretch Zone owns the trademarks, patents, and copyrights associated with the brand, business system, and proprietary methods. They also state that they will take all steps necessary to preserve and protect the ownership and validity of the Intellectual Property.
As a Stretch Zone franchisee, you are granted the right to use Stretch Zone's intellectual property, including the Principal Trademark and Patents, but only for the operation of your franchise business at your approved location. The FDD specifies that you must use the intellectual property according to Stretch Zone's standards and specifications. You are prohibited from using the Intellectual Property in signing any contract, check, negotiable instrument or legal obligation, application for any license or permit, or in a manner that may result in liability to Stretch Zone for any indebtedness or obligation of yours.
Furthermore, the Stretch Zone franchisee must use Stretch Zone's Principal Trademark as the sole service mark identification for the Franchise Business and display it prominently on all authorized materials in a manner specified by Stretch Zone. The franchisee cannot use the Stretch Zone trade name as part of their legal business name but must comply with fictitious name registrations, such as "John Jones d/b/a 'Stretch Zone'." Franchisees must also exercise caution to ensure the Intellectual Property is not jeopardized in any manner.