conditional

Is Brain Balance obligated to provide software upgrades to licensees?

Brain_Balance Franchise · 2025 FDD

Answer from 2025 FDD Document

by confirming receipt of the notification and a reasonable estimate of the time required for diagnosis and resolution of the Error(s). Licensor shall use its commercially reasonable efforts to take the necessary steps to provide an Error Correction within a reasonable time.

  • (d) Licensor shall provide the Licensee such update releases containing changes to the Software for Error Correction ("Update Releases") and upgrades to new versions of the Software ("Upgrades") as are provided to its other licensees of the Software. In addition to Error Correction, Update Releases may also contain, at Licensor's sole discretion, enhancements to the Software or Software Materials.

3. Maintenance Period and Fees.

  • (a) Maintenance is provided for the Term of the Agreement.
  • (b) Maintenance fees are payable annually as set forth in Exhibit B.

4. Maintenance and Support Standards.

  • (a) During the Term of this Agreement, Licensee shall operate the Software in all material respects in accordance with the Software Materials.
  • (b) Licensee shall observe the following standards during the term of this Agreement:
  • (i) pursuant to request by Licensor, arrange access to its premises and/or system and make its hardware accessible to Licensor's support personnel and other designated representatives, and enable logons/passwords for such persons as necessary or appropriate for Licensor's performance under this Agreement;
  • (ii) Provide remote access to the Software at all times as reasonably necessary or appropriate for Licensor's performance under this Agreement;
  • (iii) Install, or permit Licensor to install, Upgrades to the Software from time-to-time;
  • (iv) When Upgrades or Update Releases are provided and the Licensee has requested assistance, provide a reasonable level of assistance to Licensor in implementation and testing of the same;
  • (v) Provide Licensor with notice of its intention to change any Hardware, operating system or data-feeds that would affect the Software;
  • (vi) Provide other reasonable assistance as Licensor may request, including, but not limited to, providing sample output and other diagnostic information as may be required by Licensor for maintenance.
  • (c) Licensor shall use its commercially reasonable efforts to observe the following standards during the term of this Agreement:
  • (i) provide reasonable support and maintenance to the Users within the Normal Hours;
  • (ii) Investigate and address within a reasonable time, the repair of Errors in the Software reported by the Licensee or any Errors of which Licensor otherwise becomes aware;

  • (iii) Correct Errors in the Software, so long as such Errors are repeatable by the Licensee, or to provide a software patch or bypass around such Error. (No warranty is made that all Errors can or shall be corrected.)
  • (iv) Provide diagnosis and solution of operational problems (generally on a remote basis); and
  • (v) Provide Update Releases and Upgrades of the Software at the Licensee site (to both fix defects or as part of ongoing development of the product).
  • (d) Notwithstanding any language to the contrary in this Agreement, Licensor shall not be obligated to provide maintenance or support with respect to or for:
  • (i) Licensee provided hardware, operating systems, networks and connectivity;
  • (ii) Any software other than the Software, or with respect to the Software if it has been altered or modified by anyone other than Licensor or its designated representatives;
  • (iii) Viruses (including, without limitation, detection of viruses and resorting or recovering software, including the Software, or data damage caused by viruses);
  • (iv) damage to the Software or data not caused by Licensor or its representatives (including, without limitation, entering, correcting or restoring any data lost, damaged or corrupted due to media failure, Hardware failure, viruses, power interruption, failure to back-up data, improper use of the Software or other software, or network or operating system problems); and
  • (v) Making modifications to, or providing support for Licensee hardware, operating system software, third party application software, data feeds or external data of the Licensee or its affiliates.

5. Definitions.

As used in this Exhibit, the following capitalized terms shall have the meaning assigned below:

"Error" means any failure of the Software to substantially conform to the specifications included with the License Agreement.

Source: Item 23 — RECEIPTS (FDD pages 72–292)

What This Means (2025 FDD)

According to Brain Balance's 2025 Franchise Disclosure Document, Brain Balance is obligated to provide software upgrades to its licensees. Specifically, Brain Balance must provide licensees with update releases containing changes to the software for error correction, as well as upgrades to new versions of the software, provided these are also offered to other Brain Balance licensees. These updates may also include enhancements to the software or software materials at Brain Balance's discretion. This maintenance is provided for the term of the franchise agreement, with maintenance fees payable annually as detailed in Exhibit B.

However, Brain Balance has some limitations regarding its obligations. Brain Balance is not required to provide maintenance or support for licensee-provided hardware, operating systems, networks, or connectivity. Their obligations also do not extend to any software that has been altered or modified by someone other than Brain Balance or its designated representatives. Additionally, Brain Balance is not responsible for issues caused by viruses, damage to the software or data not caused by them, or modifications to the licensee's hardware, operating system software, third-party application software, data feeds, or external data.

As a Brain Balance franchisee, it is important to understand the standards for maintenance and support. Franchisees must notify support personnel of suspected errors exhibited by the software. Brain Balance will then respond by confirming receipt of the notification and providing a reasonable estimate of the time required for diagnosis and resolution. Brain Balance will use commercially reasonable efforts to provide an error correction within a reasonable time. Franchisees are also expected to operate the software in accordance with the software materials, provide access to their premises and systems for support personnel, and install upgrades to the software.

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.