The fast growth of international economic in the world brings out the alternative of deveioped a Franchise business that depend on the strenght of the brand image, trade mark, know how, standard management, technology, and planned system for running such business that already created by a company or a businessman (Franchisor) which also give the permission to other party to nin the same business as theirs by using their standard of rnanagement above. One of the basic instrument that given by the Franchisor to Franchisee in the line of Franchise business is trade mark as the indication of difference from other products or service in the same business. Therefore the trade mark that used in Franchise business needs a certain legal regulations to protect such trade mark used by Franchisee. But in Indonesia there is no specific regulation related to the protection of such trade mark, there is only a license regulation stated at the Indonesian Trade Mark Law, but it is not specific enough due to protect the trade mark in the Franchise business. It is also important to have a special regulation to give the legal protection to the trade mark if the Franchisor experienced any legal proceeding that effect the civil right of Franchisor as the owner of the trade mark, such as the Franchisor is declared to be bankrupt. Due to this, we must pay attention to the elements of trade mark regulation and the legal theories pertaining to the agreements between parties and also the regulation of bankruptcy in Indonesia. The legal protection of trade mark on Franchise business must be specifically made in detailed licensing agreement instead of only Franchise Agreement due to maximize the protection for the related parties