Does the Annex Brands agreement allow the Master Licensee to inspect the End User's premises?

According to the 2025 Annex Brands Franchise Disclosure Document, the End User Sublicense Agreement authorizes the Master Licensee to enter the End User's premises to inspect the Product. This inspection must be conducted in a reasonable manner and during the End User's regular business hours. The "Product" refers to the PostalMate software that Annex Brands sublicenses to its franchisees.

This clause in the agreement allows Annex Brands to ensure that franchisees are using the PostalMate software correctly and complying with the terms of the sublicense agreement. It also allows Annex Brands to protect its intellectual property rights in the software. The right to inspect the premises gives Annex Brands a mechanism to verify that the End User is safeguarding the software and adhering to confidentiality requirements.

For a prospective Annex Brands franchisee, this means they should expect that Annex Brands may conduct on-site inspections to ensure compliance with the End User Sublicense Agreement, particularly regarding the use and security of the PostalMate software. Franchisees should maintain proper records and ensure their premises are accessible during regular business hours for such inspections. Franchisees should also ensure that they are using the software in accordance with the agreement and that they are taking appropriate measures to protect the software from unauthorized access or use.