Can Anago change the specifications for required computer equipment throughout the term of the Anago Subfranchise Rights Agreement?
Anago Franchise · 2025 FDDAnswer from 2025 FDD Document
Required Purchases
We require you to purchase or lease the computer equipment in accordance with our specifications, from us or our designee, which specifications are subject to change throughout the term of your Subfranchise Rights Agreement. We currently require you to use certain hardware and software systems designated by us, pursuant to that certain NBDS License Agreement (in the form attached as Exhibit D to the Disclosure Document) which you and we will enter into.
We have the right to supplement, improve and otherwise change the System at any time and for any reason, and you must comply with all such requirements, including offering and selling new or different products or services specified by us and discontinuing the offer and sale of products and services we no longer approve.
Specifications; Required and Approved Suppliers
To help retain the uniform and high standards necessary to maintain and enhance the goodwill of the System and acceptance in your market, we provide specifications and/or required suppliers for the purchase or lease of certain items, which each Subfranchisor currently is required to retain to provide support services in connection with certain software. We are the only approved supplier for the NBDS System. Specifications may include standards for enhancing the System's image and minimum standards for safety, appearance and other factors. We also currently require that you use our designated internet vendors in connection with the creation and maintenance of your website, and email/webhosting. We will communicate specifications for required or permitted products and services in the Manuals or otherwise in writing.
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 23–26)
What This Means (2025 FDD)
According to Anago's 2025 Franchise Disclosure Document, Anago can change the specifications for required computer equipment throughout the term of the Subfranchise Rights Agreement. Anago requires franchisees to purchase or lease computer equipment according to their specifications, and these specifications are subject to change during the agreement. Currently, Anago requires the use of specific hardware and software systems as outlined in the NBDS License Agreement.
Anago retains the right to supplement, improve, and otherwise change the Anago system at any time and for any reason. Franchisees must comply with all such requirements, including offering and selling new or different products or services specified by Anago and discontinuing the offer and sale of products and services Anago no longer approves.
To maintain uniformity and high standards, Anago provides specifications and/or required suppliers for certain items. Specifications may include standards for enhancing the System's image and minimum standards for safety, appearance, and other factors. Anago also currently requires that franchisees use their designated internet vendors in connection with the creation and maintenance of their website, and email/webhosting. Anago will communicate specifications for required or permitted products and services in the Manuals or otherwise in writing. This gives Anago significant control over the technology and resources a franchisee must use, ensuring consistency across the brand but also potentially requiring franchisees to invest in new equipment or systems as Anago updates its standards.