According to the Boulder Designs Franchise Agreement, what is the 'System' comprised of?
Boulder_Designs Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisor hereby grants to Franchisee, and Franchisee undertakes and accepts, upon the terms and conditions herein contained, a revocable, limited license to operate one BOULDER DESIGNS Business using the System and Marks.
Section 2.2 Approved Location
Subject to all of the terms and conditions herein, Franchisor grants to Franchisee the right and license to operate a Franchised Business using the System and the Marks at an approved location ("Approved Location") and solely within the Territory. Franchisee hereby accepts such right and license subject to such terms and conditions and undertakes to operate the Franchised Business and to use the System and Marks solely in connection therewith. If the Approved Location of the Franchised Business is not determined as of the Effective Date, then Franchisee shall have up to 30 days to propose a location to Franchisor for approval. If Franchisor does not deny Franchisee's proposed location within 30 calendar days, the location shall be deemed approved. If Franchisee receives a denial from Franchisor, Franchisee must submit a new location until approved. When the Approved Location is determined, its description shall be identified on the Key Terms Page. Franchisee must only operate the approved Boulder Designs Business from the approved location and no other business.
Section 2.3 Sub-franchising/Agents
Franchisee shall not sublicense the use of the System or Marks to any person or entity to perform any part of Franchisee's rights or obligations licensed herein, or to grant any person or entity the right to act as Franchisee's agent to perform any part of Franchisee's rights or obligations herein.
Source: Item 22 — CONTRACTS (FDD page 50)
What This Means (2025 FDD)
According to Boulder Designs' 2025 Franchise Disclosure Document, the franchise agreement grants franchisees a license to operate a Boulder Designs business using the "System and Marks." The agreement also states that franchisees shall not sublicense the use of the System or Marks to any person or entity.
The Boulder Designs franchise agreement mentions that the franchisor may introduce new methods or technology that require system modifications, including modified or substitute Marks, new computer hardware and software, equipment, signs, or fixtures. The franchisee is responsible for all upgrade and modification expenses required by Boulder Designs.
To preserve the validity and integrity of the Marks and any copyrighted materials licensed, Boulder Designs has the right to inspect the franchised business and the approved location. They also have the right to observe how the franchisee renders services and conducts operations, and to inspect facilities, equipment, accessories, products, supplies, reports, forms, documents, and related data to ensure the franchisee operates according to quality control and performance standards.