Legal analysis: Franchising has little to do with trademark rights, but with trademark rights you can engage in franchise activities without infringing on the other party’s trademark rights.

Legal basis: "Regulations on the Administration of Commercial Franchising"

Article 9 The competent commerce department shall, upon receipt of documents and materials submitted by the franchisor that comply with the provisions of Article 8 of these Regulations. It shall be filed within 10 days from the date of registration and the franchisor shall be notified. If the documents and information submitted by the franchisor are incomplete, the commercial department may require it to submit additional documents and information within 7 days.

Article 10 The competent commerce department shall publish the list of registered franchisors on the government website and update it in a timely manner.

Article 24 If a franchisor does not meet the conditions stipulated in Paragraph 2 of Article 7 of these Regulations and engages in franchise activities, the competent commercial department shall order him to make corrections, confiscate his illegal gains, and impose a fine of more than 100,000 yuan. A fine of less than 500,000 yuan will be imposed and announced. If other units or individuals other than enterprises engage in franchise activities as franchisors, the competent commerce department shall order them to stop illegal business activities, confiscate illegal gains, and impose a fine of not less than RMB 100,000 but not more than RMB 500,000.

Article 25 If the franchisor fails to register with the competent commerce department in accordance with the provisions of Article 8 of these Regulations, the competent commerce department shall order the franchisor to register within a time limit and impose a fine of not less than 10,000 yuan but not more than 50,000 yuan; If the registration is still not filed within the time limit, a fine of not less than 50,000 yuan but not more than 100,000 yuan will be imposed and an announcement will be made.

Article 26 If the franchisor violates the provisions of Articles 16 and 19 of these Regulations, the competent commercial department shall order him to make corrections and may impose a fine of not more than 10,000 yuan; if the circumstances are serious, he shall be punished. Fines ranging from RMB 10,000 to RMB 50,000 shall be announced.

Article 31 If trademark licensing or patent licensing is involved in franchise activities, it shall be handled in accordance with the provisions of laws and administrative regulations related to trademarks and patents.

Article 32: Relevant associations, under the guidance of the commerce department of the State Council, shall formulate regulations for franchise activities in accordance with the provisions of these Regulations, strengthen industry self-discipline, and provide relevant services to parties involved in franchise activities.