What must an Angry Chickz franchisee do with Proprietary Systems upon termination?
Angry_Chickz Franchise · 2025 FDDAnswer from 2025 FDD Document
If Company shall designate certain computer software or hardware which is owned or licensed by Company ("Proprietary Systems"), Franchisee shall at Company's request license or sublicense such hardware or software from Company or its designee and enter into a (sub)license agreement on Company's or such designee's then-current form. From time to time, Franchisee shall purchase any upgrades, enhancements or replacements to the Proprietary Systems. Company and its Affiliates may charge Franchisee up-front and ongoing fees for any Proprietary Systems that Company or its Affiliates license to Franchisee. Company may provide to Franchisee, for a fee, such support services relating to the Proprietary Software as Company deems advisable.
Source: Item 22 — CONTRACTS (FDD page 54)
What This Means (2025 FDD)
According to the 2025 Angry Chickz Franchise Disclosure Document, the agreement outlines specific requirements regarding Proprietary Systems. If Angry Chickz designates certain computer software or hardware as "Proprietary Systems" owned or licensed by them, the franchisee must, at Angry Chickz's request, license or sublicense such hardware or software from Angry Chickz or its designee. This arrangement involves entering into a (sub)license agreement on Angry Chickz's or the designee's current form.
Furthermore, the franchisee is obligated to purchase any upgrades, enhancements, or replacements to the Proprietary Systems as needed. Angry Chickz and its affiliates may charge the franchisee up-front and ongoing fees for licensing these Proprietary Systems. Additionally, Angry Chickz may provide support services related to the Proprietary Software for a fee, if deemed advisable by Angry Chickz.
However, the excerpt does not explicitly state what the franchisee must do with the Proprietary Systems upon termination of the franchise agreement. For clarification, a prospective Angry Chickz franchisee should seek explicit details from the franchisor regarding the handling of Proprietary Systems upon termination, including whether the systems must be returned, uninstalled, or if any further obligations exist.