factual

Can a Big Blue Swim School licensee rent the software?

Big_Blue_Swim_School Franchise · 2025 FDD

Answer from 2025 FDD Document

| opinion cause you to breach your development obligations under the Schedule (unless we are | | | willing to extend the Schedule proportionately to account for the delay). | |

EXHIBIT I

SOFTWARE AS A SERVICE AGREEMENT

SOFTWARE AS A SERVICE AGREEMENT

This DRA and all exhibits to this DRA constitute the entire agreement between the parties
with respect to its subject matter and supersede any and all prior negotiations, understandings,
representations, and agreements with respect to its subject matter. Nothing in this or in any related
agreement, however, is intended to disclaim the representations we made in the franchise
disclosure document that we furnished to you.

1. INTRODUCTION.

  • (a) Licensor owns the proprietary computer software system known as LessonBuddy® more particularly described on the attached Exhibit A ("Licensed Software").
  • (b) Licensee desires to obtain a license from Licensor to use the Software by remote access to the Licensor computing environment in accordance with the terms and conditions of this Agreement in conjunction solely with its operation of a BIG BLUE Swim School No. under the Big Blue Swim School Franchising, LLC Franchise Agreements by and between Licensee and Licensor.
  • (c) Any incongruities or conflicts, whether in fact or by operation of law, between the terms of this License and the Franchise Agreements shall be construed in the light most favorable to Licensor and in such a manner as to effectuate the intent of Licensor hereunder and the provisions of the Franchise Agreements.

Source: Item 23 — RECEIPTS (FDD pages 76–278)

What This Means (2025 FDD)

According to the 2025 Big Blue Swim School FDD, licensees do not rent the LessonBuddy® software, but rather obtain a license to use it via remote access. Big Blue Swim School owns the LessonBuddy® software system. As a licensee, you would be granted the right to use the software by remotely accessing Big Blue Swim School's computing environment. This access is specifically for operating your Big Blue Swim School franchise. The software that the licensee will be using is listed on Exhibit A. The software may include software code that is owned by a third party.

The agreement specifies that any inconsistencies between the software license terms and the franchise agreement will be resolved in favor of Big Blue Swim School, ensuring their control and intent are upheld. If there is an unresolvable conflict between the license and the franchise agreements, the terms in the franchise agreement will take precedence.

This arrangement means that as a franchisee, you will not own the software but will have the right to use it as a service, which is commonly referred to as Software as a Service (SaaS). You will be responsible for paying a Software License Fee, as stated in the franchise agreement. The franchisor retains control over the software, its updates, and any modifications, ensuring consistency across all Big Blue Swim School locations. The franchisor will provide specifications, user guides, and other materials for the Software in written or electronic form at no additional charge.

This licensing model ensures that Big Blue Swim School can maintain quality control and consistency across its franchise network by managing and updating the software centrally. It also means that franchisees don't have to worry about the technical aspects of maintaining the software, but they are dependent on Big Blue Swim School for its functionality and updates.

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.