Is the Burros Fries franchisee required to purchase and install additions to their computers for the intranet system?
Burros_Fries Franchise · 2024 FDDAnswer from 2024 FDD Document
- (2) Upon receipt of notice from us that the intranet system has become operational, Franchisee agrees to purchase and install all necessary additions to their computers and to establish and continually maintain electronic connection with the intranet system that allows us to send messages to and receive messages from Franchisee. Franchisee's obligation to maintain connectivity with the intranetsystem will continue until expiration or termination of this Agreement.
- (3) We may use part of the System Advertising Fund that we collect under this Agreementto develop, maintain and further develop the intranet system.
Source: Item 22 — CONTRACTS (FDD page 53)
What This Means (2024 FDD)
According to Burros Fries's 2024 Franchise Disclosure Document, if Burros Fries establishes an intranet system, franchisees are required to purchase and install any necessary additions to their computers to connect to it. Franchisees must also maintain this electronic connection for the duration of their Franchise Agreement. Burros Fries may use funds from the System Advertising Fund to develop and maintain the intranet system.
Burros Fries will establish policies and procedures for the use of the intranet system. These policies may include restrictions on offensive language, restrictions on communications that encourage breach of agreements with Burros Fries, confidentiality of transmitted materials, password protocols, grounds for suspending or revoking access, and a privacy policy. As the administrator of the intranet system, Burros Fries can access and view any communication posted on it, and all communications posted to the intranet system become the property of Burros Fries.
Furthermore, Burros Fries franchisees are responsible for supplier and licensor charges related to the use, maintenance, support, and updates of required systems. Franchisees are also expected to incur the costs of obtaining technology items, including any additions and modifications, and required networking and technology support services, even if these costs are not fully amortizable over the agreement's term. Burros Fries has no obligation to reimburse franchisees for these technology-related expenses. Franchisees must obtain designated technology item components and software within 90 days of receiving notice from Burros Fries and ensure that their technology items and software function properly.