Does the Apricot Lane franchisor have the right to change the E-Commerce Platform?
Apricot_Lane Franchise · 2025 FDDAnswer from 2025 FDD Document
Subject to the terms and conditions of this Subsection L, Franchisee has the right, using the Designated Mark (and other Marks authorized by Franchisor from time to time), to offer and sell through one or more third-party Internet websites or other electronic media authorized by Franchisor from time to time ("E-Commerce Platform") the merchandise to be sold at the Franchised Business in accordance with the terms of this Agreement. The E-Commerce Platform shall be deemed part of the Franchised Business and subject to all of the relevant terms and conditions under this Agreement. Franchisee acknowledges and agrees that e-commerce is rapidly evolving, with constant changes, and that Franchisor has the right from time to time to change the E-Commerce Platform (including substituting providers and using different technology) to maintain the competitiveness of Specialty Stores. Franchisor will give reasonable prior notice to Franchisee of any such changes, which in no event need to be more than 90 days. Franchisee agrees to discontinue use of any E-Commerce Platform that Franchisor no longer authorizes and will only use the then-current authorized E-Commerce Platform, notwithstanding that changes may result in costs and expenses to Franchisee. Franchisee shall execute and perform such agreements ("Provider's Contracts") with the provider of the
E-Commerce Platform ("Provider") as Franchisor requires from time to time (including requirements authorizing independent access to the E-Commerce Platform and Usage Data by Franchisor). Currently, Franchisor has designated "Shopify" as the sole and exclusive E-Commerce Platform, but, as noted above, Franchisor reserves the right to change the E-Commerce Platform in the future.
Source: Item 23 — RECEIPTS (FDD pages 51–222)
What This Means (2025 FDD)
According to Apricot Lane's 2025 Franchise Disclosure Document, the franchisor retains the right to modify the E-Commerce Platform. The FDD specifies that e-commerce is rapidly changing, and Apricot Lane needs the flexibility to adapt to maintain competitiveness. This includes the ability to substitute providers and use different technologies.
Apricot Lane will provide franchisees with reasonable prior notice, though this notice period need not exceed 90 days. Franchisees are obligated to discontinue using any E-Commerce Platform that Apricot Lane no longer authorizes and must transition to the then-current authorized platform, even if this results in costs and expenses for the franchisee. Currently, Shopify is designated as the sole E-Commerce Platform, but Apricot Lane reserves the right to change this in the future.
This clause has significant implications for prospective franchisees. While Apricot Lane aims to provide notice of changes, franchisees must be prepared to adapt quickly and bear any associated costs. This could involve retraining staff, updating marketing materials, or integrating new systems. Franchisees should factor in these potential costs and disruptions when evaluating the franchise opportunity. It is also important to note that the franchisor owns all visitor information and has approval rights over all content utilized with the E-Commerce Platform.