Does Bhc reserve the right to change the software for the Computer System each year?
Bhc Franchise · 2025 FDDAnswer from 2025 FDD Document
We reserve the right to change the software each year.
At such time as we designate the change or enhancement to the Computer System you, your Affiliate Franchisee, and your Subfranchisees may be required to make certain payments to us or our designated suppliers.
You, your Affiliate Franchisee, and your Subfranchisees must install and commence using the changed or enhanced Computer System within such time as stated in our notice to you.
You, your Affiliate Franchisee, and your Subfranchisees must acquire the right to use hardware, software, peripheral equipment, and accessories, and arrange for installation, maintenance, and support services of the initial, changed, or enhanced Computer System all at your cost.
There are no contractual limitations on the frequency and cost of this obligation.
We reserve the right to develop proprietary software.
You may be required to license the proprietary software from us, an affiliate or a third party, and you also may be required to pay a software licensing or use fee in connection with your use of the proprietary software.
All right, title and interest in the software will remain with the licensor of the software.
We may independently access the Computer System and retrieve, analyze, download, and use all software, data and files stored or used on the Computer System.
Source: Item 11 — Franchisor's Assistance, Advertising, Computer Systems, And Training (FDD pages 29–38)
What This Means (2025 FDD)
According to Bhc's 2025 Franchise Disclosure Document, Bhc retains the right to modify the software used in the Computer System annually. Bhc also reserves the right to change the point-of-sale cash register system and back-of-office computer at any time but will not require franchisees to replace these items more than three times during the initial term of the Master Franchise Agreement.
If Bhc designates a change or enhancement to the Computer System, franchisees, Affiliate Franchisees, and Subfranchisees may be required to make certain payments to Bhc or its designated suppliers. Franchisees must install and begin using the changed or enhanced Computer System within the timeframe specified in Bhc's notice. The franchisee is responsible for the costs associated with acquiring the right to use hardware, software, peripheral equipment, and accessories, as well as the installation, maintenance, and support services for the Computer System.
There are no contractual limitations on the frequency and cost of this obligation. Bhc also reserves the right to develop proprietary software, which franchisees may be required to license from Bhc, an affiliate, or a third party, potentially incurring software licensing or usage fees. All rights, title, and interest in the software will remain with the licensor. Bhc may also independently access the Computer System to retrieve, analyze, download, and use all software, data, and files stored or used on it.
This policy gives Bhc considerable control over the technology used in the franchise and places the financial burden of upgrades and changes on the franchisee. Prospective franchisees should carefully consider the potential costs and frequency of these changes when evaluating the Bhc franchise opportunity and should discuss with Bhc what the typical cost and frequency of software changes have been for existing franchisees.