factual

Can Browns Chicken require a franchisee to lease proprietary software?

Browns_Chicken Franchise · 2025 FDD

Answer from 2025 FDD Document

Franchisee shall, throughout the term of this Agreement, maintain an active e-mail account and shall have access to the Internet for receiving bulletins, updates, and other information from Brown. Franchisee must have DSL or Broadband high speed internet access. Franchisee must purchase computer hardware and software, a monitor, and the services of an Internet service provider to enable Franchisee to access Brown's intranet system. Brown may require Franchisee to lease proprietary software from Brown or a third party designated by Brown, and to enter into a software License Agreement with Brown or such third party. Brown reserves the right, upon prior written notice to Franchisee, to access information and data produced by Franchisee's computer system.

Franchisee must obtain and maintain an operational fax machine, lap-top computer, and point of sale system (POS System). Franchisee must obtain its POS System and credit card processing from a vendor approved by Franchisor. Franchisee shall record all sales on the POS system as required by the Operations Manual, this Agreement, or as otherwise approved in writing by Brown. Brown reserves the right to access information and data pertaining to the Store produced by and/or stored on Franchisee's computer system. The information and data Brown may access includes that of any Third-Party Delivery Service companies through which customers purchase menu items from the Store.

Source: Item 22 — Contracts (FDD page 43)

What This Means (2025 FDD)

According to Browns Chicken's 2025 Franchise Disclosure Document, franchisees may be required to lease proprietary software. The franchisee must maintain an active email account and have access to the internet using DSL or broadband high-speed internet. To access Browns Chicken's intranet system, franchisees must purchase computer hardware and software, a monitor, and the services of an internet service provider.

Browns Chicken may require franchisees to lease proprietary software from Browns Chicken or a third party designated by Browns Chicken. If required, the franchisee would also need to enter into a software license agreement with Browns Chicken or the designated third party. Browns Chicken also reserves the right to access information and data produced by the franchisee's computer system, with prior written notice.

In addition to the above, Browns Chicken requires franchisees to obtain and maintain an operational fax machine, laptop computer, and point of sale system (POS System). The POS System and credit card processing must be obtained from a vendor approved by Browns Chicken. All sales must be recorded on the POS system as required by the Operations Manual, the Franchise Agreement, or as otherwise approved in writing by Browns Chicken. Browns Chicken also reserves the right to access information and data pertaining to the store produced by and/or stored on the franchisee's computer system, including data from Third-Party Delivery Service companies.

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.