What is the implication if Beggars Pizza sublicenses the SpeedLine Software?
Beggars_Pizza Franchise · 2025 FDDAnswer from 2025 FDD Document
GRANT OF LICENSE: This Agreement grants you the following rights. Subject to the terms of this Agreement, you are granted a personal, non-exclusive, non-transferable license to do the following (the "License" for each Installed Software product or Online Services): (a) implement and use one (1) copy of the Installed Software products, at the business location of the Customer, on the number of terminals which is equal to the number of SpeedLine
Solutions Software user licenses received by the Customer or, in the case of certain of the related software programs, on one (1) of the Customer's terminals, and for the term (unlimited, fixed prepaid, or subscription), in each case specified in the Quote; (13) access and use the Online Services for a subscription license term specified in the Quote; and (c) use the Documentation in conjunction with your use of the Installed Software and Online Services. No transfer of this
Agreement (including any License) in whole or in part in any manner
directly or indirectly, no sub-licensing, and no increase to the number of terminals or change to the business location may be made without the prior written consent of SpeedLine. The terms and conditions of this Agreement shall apply to all changes or amendments hereto, unless a new Software License Agreement is entered into by the parties, at the option of SpeedLine.
Source: Item 23 — RECEIPT (FDD pages 39–192)
What This Means (2025 FDD)
According to Beggars Pizza's 2025 Franchise Disclosure Document, franchisees are granted a personal, non-exclusive, and non-transferable license to use the SpeedLine software. This license allows franchisees to implement and use one copy of the software at their business location on a specified number of terminals, as determined by the number of user licenses they receive. They can also access and use online services for a subscription license term detailed in their quote. Franchisees are also permitted to use the provided documentation in conjunction with the software and online services.
However, this agreement strictly prohibits any form of sub-licensing of the SpeedLine software. Franchisees cannot transfer the agreement, in whole or in part, or increase the number of terminals or change the business location without SpeedLine's prior written consent. Any changes or amendments to the agreement are subject to the original terms and conditions, unless a new software license agreement is created at SpeedLine's discretion.
This restriction means that Beggars Pizza franchisees must directly manage and utilize the software as licensed, without the ability to redistribute, lease, or sublicense it to any third party. This ensures SpeedLine maintains control over the distribution and usage of their software, protecting their intellectual property rights and ensuring consistent application of the software across all users. For a potential Beggars Pizza franchisee, this highlights the importance of understanding the scope and limitations of the software license, and the need to adhere strictly to the terms to avoid any breach of contract.