What happens to the Aerus Software License if the Franchise Agreement expires or terminates?
Aerus Franchise · 2025 FDDAnswer from 2025 FDD Document
The term of this Software License will be co-extensive with the term of the Franchise Agreement, including any renewal of the term of the Franchise Agreement.
Expiration or termination of the Franchise Agreement for whatever reason will automatically terminate this Software License and the right granted by it to use the Software, without notice to Licensee.
If Licensor's license to any portion of the Software secured from any third party should terminate, then this Software License will automatically terminate as to such portion of the Software, and Licensee will comply with the provisions of Paragraph 10 in connection with such portion of the Software.
In addition, Licensor may terminate this Software License upon the failure by Licensee to comply with any of the terms and conditions herein, by giving Licensee written notice of termination stating the nature of the breach at least thirty (30) days prior to the effective date of termination; provided that Licensee may avoid termination by
immediately initiating a remedy to cure such default and curing it to Licensor's satisfaction within the thirty (30) day period and by promptly providing proof thereof to Licensor. If any such default is not cured within that time, or such longer period as applicable law may require, this Software License will terminate without further notice to Licensee effective immediately upon expiration of the thirty (30) day period or such longer period as applicable law may require. Paragraphs 3, 4, 5, 6, 7, 10 and 12 through 20 of this Software License will survive termination, cancellation or expiration of the Franchise Agreement and this Software License.
Source: Item 23 — Receipts (FDD pages 74–305)
What This Means (2025 FDD)
According to Aerus's 2025 Franchise Disclosure Document, the Software License Agreement's term is directly tied to the Franchise Agreement's term, including any renewals. This means the Software License remains valid as long as the Franchise Agreement is active. However, if the Franchise Agreement expires or terminates for any reason, the Software License automatically terminates without any further notice to the franchisee.
Upon termination of the Software License, the Aerus franchisee's right to use the software ceases immediately. This includes the inability to access any related systems or data through the software. The franchisee must discontinue using the software upon the termination or expiration of the Franchise Agreement.
Certain obligations outlined in the Software License Agreement survive the termination, cancellation, or expiration of the Franchise Agreement and the Software License. These include provisions related to proprietary rights, confidentiality, and liability. This means that even after the agreement ends, the franchisee remains responsible for protecting the software and documentation and adhering to the terms that address proprietary rights and legal responsibilities.