Under what circumstances might Azal Coffee modify or substitute the Intellectual Property that franchisees are authorized to use?

According to Azal Coffee's 2024 Franchise Disclosure Document, Azal Coffee may change or modify the Franchise Technology in the future, including changes in the specifications and components relating to the Franchise Technology. If such changes occur, franchisees must obtain and begin using the changed or modified Franchise Technology within thirty (30) days after receiving written notice from Azal Coffee.

This means that Azal Coffee franchisees must remain adaptable to changes in technology and be prepared to invest in new systems or updates as required by the franchisor. This could involve costs for new hardware, software, licenses, and training. The franchisee is responsible for paying all required license fees, service fees, management fees, and support, maintenance, update, and upgrade costs to use and maintain the Franchise Technology in the manner specified by Azal Coffee.

It is important for prospective franchisees to consider the potential financial impact of these technology changes and to factor these costs into their business plan. They should also inquire about the frequency and scope of past technology changes to better anticipate future requirements. While these technology changes are intended to benefit the Azal Coffee franchise system, they also represent an ongoing financial obligation for the franchisee.