Hello!
In order to clarify your doubts, we must first clarify the determination of franchise rights. Franchising refers to a privilege granted by a competent authority to an individual or legal entity. The International Franchise Association believes that franchising is a contractual relationship between the franchisor and the franchisee. The franchisor provides or is obligated to maintain a continuing interest in the areas of business know-how and training in the franchisee's operations. ; Franchisee's operations are conducted under a unique mark, operating model and processes owned and controlled by the franchisor, and the franchisee invests in its business from its own resources. First, it is necessary to know that a franchise opportunity is just another business opportunity. Usual business considerations still apply when evaluating franchise opportunities, which means common sense is still important. However, franchising does have something unique about it that would-be investors need to be aware of. Some of the differences are briefly described below. 1. Fixed franchise terms. Almost all franchise agreements have a fixed term, usually 10 years. Most franchisors will extend the deadline when it comes unless the franchisee is seriously unable to meet its obligations. 2. Development schedule. When a franchisee is granted a franchise for a specific area or country - often referred to as a regional franchise or master franchise - the franchisor usually insists that the franchisee fulfill a mutually agreed-upon regional development schedule. This means that the licensee must open a specified number of franchise stores within a certain number of years. 3. Intellectual property rights. One of the main terms of the franchise is the use of intellectual property. Most franchisors have very specific and specific requirements for how their intellectual property is used. This includes the licensee adopting the franchisor's corporate mark in its operations. Sometimes to achieve uniformity, grantees may be forced to purchase items and equipment overseas. 4. The right to sub-franchise. The right to obtain a regional franchise, or master franchise, does not necessarily entail the right to sub-franchise. This means that a licensee who does not obtain a sub-franchise can only directly own and operate all stores in its territory. It is imperative that potential grantees consider the above and raise it early in negotiations. Many misunderstandings are often caused by a lack of understanding of Western-style franchising by Asian franchisees. Although franchising has a high success rate, it's not right for everyone.
It is necessary to clarify whether your company is the only confirmed franchisee. the specific content of that right in that place. Only then can it be confirmed whether the other party has violated that right.
Let’s discuss it together. I think:
If this right is indeed infringed upon as you said, my country's "Anti-Unfair Competition Law" does not stipulate that such behavior is unfair competition, but if the trademark license you obtained The right to use is exclusive in Shenyang, so the infringer's operation without permission infringes upon the trademark and name rights of the owner of the trademark and business name, which also constitutes infringement of your exclusive right to use the trademark and name. Not only can you sue, you can also apply to the licensor to stop the infringement, or you can directly report it to the industrial and commercial administration and ask for investigation and punishment of trademark infringement.
I hope the answer is helpful to you. If you have any related questions, you are welcome to add my Baidu ID or MSN gongcheng1991@hotmail.com for discussion. We are willing to make progress together with you!
Shun Song
Shang Qi!