Who bears the expense of adopting new payment systems designated by the 1-800-GOT-JUNK? franchisor?
1_800_Got_Junk Franchise · 2025 FDDAnswer from 2025 FDD Document
ranchisee shall establish and operate, at its own expense, such customer relationship management, order processing, point of sale, bookkeeping, accounting, record keeping, security, computer, communications and other systems and software as prescribed by Franchisor from time to time. Franchisee shall pay all fees charged by Franchisor, its Affiliates or designated suppliers for the use of such systems and software and to purchase or lease all necessary Computer Systems. The foregoing obligation may include, without limitation, the use and retention of such records, documents and equipment as may from time to time be required by Franchisor. In the event that Franchisor adopts new methods, procedures or systems for its franchisees, or for the System generally, Franchisee agrees to purchase and utilize such systems and software, pay all fees charged by Franchisor, its Affiliates or others for the use of such systems and software, and purchase or lease all necessary Computer Systems. If Franchisor has prescribed any customer relationship management, order processing, point of sale, bookkeeping, accounting, record keeping, security, computer, communications or other systems or software for use by 1-800-GOT-JUNK?
Source: Item 22 — Contracts (FDD page 24)
What This Means (2025 FDD)
According to the 2025 1-800-GOT-JUNK? Franchise Disclosure Document, the franchisee is responsible for the expenses associated with adopting new systems and software prescribed by the franchisor. This includes purchasing and utilizing the new systems and software, as well as covering all fees charged by 1-800-GOT-JUNK?, its affiliates, or other designated suppliers for the use of these systems and software. The franchisee is also responsible for purchasing or leasing any necessary computer systems required for the new systems.
This requirement extends to customer relationship management, order processing, point of sale, bookkeeping, accounting, record keeping, security, computer, communications, and other systems and software. The franchisee must use only the systems and software specified by 1-800-GOT-JUNK? and is prohibited from using any other systems or software in operating the franchised business.
This means that if 1-800-GOT-JUNK? introduces a new payment processing system or updates its existing software, franchisees will bear the financial burden of implementing these changes. This could involve purchasing new hardware, software licenses, and paying fees for ongoing use and maintenance. Prospective franchisees should consider these potential costs when evaluating the overall investment required to operate a 1-800-GOT-JUNK? franchise.