Can Bigfoot Forestry require franchisees to sign a license agreement for proprietary technology?
Bigfoot_Forestry Franchise · 2025 FDDAnswer from 2025 FDD Document
We and/or our affiliate may develop proprietary Technology Systems (or components thereof) that become part of our System.
If this occurs, you agree to: (i) pay us (or our affiliate) commercially reasonable licensing, support and maintenance fees; and (ii) upon request, sign our prescribed form of license agreement governing use of proprietary Technology Systems (or components thereof).
We may enter into master agreements with licensors of Third-Party Technology and charge you for amounts we pay them based on your use of their Third-Party Technology.
We may charge you a technology fee, which includes all amounts you pay us and our affiliates relating to Technology Systems, including amounts paid for proprietary items and amounts we collect from you and remit to suppliers of Third-Party Technology.
The technology fee may change based on changes to Technology Systems or prices charged by third parties with whom we enter into master agreements.
Source: Item 23 — RECEIPT (FDD pages 42–162)
What This Means (2025 FDD)
According to Bigfoot Forestry's 2025 Franchise Disclosure Document, if Bigfoot Forestry or its affiliate develops proprietary technology systems, franchisees may be required to sign a license agreement governing the use of these systems. Additionally, franchisees will be responsible for commercially reasonable licensing, support, and maintenance fees associated with the proprietary technology.
This means that as a Bigfoot Forestry franchisee, you might need to enter into a separate license agreement and pay additional fees for using technology that Bigfoot Forestry develops. This is in addition to the standard franchise agreement and fees. The fees must be commercially reasonable, but the FDD does not define what constitutes 'commercially reasonable'.
Bigfoot Forestry may also enter into master agreements with third-party technology licensors and charge franchisees for the amounts they pay based on the franchisee's use of the third-party technology. Franchisees may also be charged a technology fee that includes amounts paid for proprietary items and amounts remitted to suppliers of third-party technology. The technology fee is subject to change based on changes to the technology systems or the prices charged by third parties.