factual

Is the Bhc Master Franchisee required to purchase upgrades for the Designated Software?

Bhc Franchise · 2025 FDD

Answer from 2025 FDD Document

  • (b) Franchisor may designate the computer software to be used in the operation of the Computer System ("Designated Software"). If Franchisor does so, Master Franchisee must license or sublicense, and ensure the Sublicensees license or sublicense, such Designated Software from Franchisor's designee and enter into a software license agreement on the software licensor's then-current form and pay any related license or maintenance fees. Master Franchisee and Subfranchises may also be required to purchase any upgrades, enhancements, or replacements to the Designated Software. Master Franchisee must incorporate any required modifications or additions within such time as stated in the notice sent by Franchisor.

Source: Item 23 — Receipts (FDD pages 52–230)

What This Means (2025 FDD)

According to Bhc's 2025 Franchise Disclosure Document, the Master Franchisee may be required to purchase upgrades, enhancements, or replacements to the Designated Software. Bhc may designate specific computer software to be used within the Computer System. If Bhc designates software, the Master Franchisee must license or sublicense it from Bhc's designee, enter into a software license agreement, and pay any related license or maintenance fees. The Master Franchisee must also ensure that their sub-licensees do the same.

This means that as a Bhc Master Franchisee, you need to budget for potential software upgrades and maintenance fees. These costs are in addition to the initial licensing fees for the Designated Software. The Master Franchisee is responsible for incorporating any required modifications or additions within the time frame specified by Bhc.

Furthermore, the Master Franchisee must prevent the installation of unauthorized software on the Computer System and take measures to protect against malicious code or malware. They must also provide Bhc with all necessary passwords and access keys to allow access to the Computer System and data. This ensures Bhc can monitor operations and access important information. All information on the Computer System, including customer data, is Bhc's property, and Bhc can use this information as they see fit, subject to privacy laws and policies.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.