What happens to the Software Agreement upon termination or expiration of the Byrider Franchise Agreement?
Byrider Franchise · 2025 FDDAnswer from 2025 FDD Document
- 17.2 Termination of Access to BYRIDER Computer Software. Upon termination or expiration of this Agreement, the Software Agreement shall also concurrently expire or terminate. Upon such termination or expiration, the Company shall not be obligated to provide the Franchisee with access to the BYRIDER Computer Software or provide any services with respect thereto, except that the Company shall promptly make available to Franchisee (in a commercially reasonable media and form or format, as Company shall determine) any and all information needed to permit Franchisee (or its assignee) to collect its receivables and otherwise engage in an orderly transfer, transition or wind down of Franchisee's Business.
Source: Item 23 — Receipts (FDD pages 88–335)
What This Means (2025 FDD)
According to Byrider's 2025 Franchise Disclosure Document, the Software Agreement expires or terminates concurrently with the termination or expiration of the Franchise Agreement. Upon termination or expiration, Byrider is not obligated to provide the franchisee with access to the BYRIDER Computer Software or any related services. However, Byrider will make available to the franchisee all information needed to permit the franchisee (or its assignee) to collect its receivables and otherwise engage in an orderly transfer, transition, or wind down of the franchisee's business. This information will be provided in a commercially reasonable media, form, or format, as determined by Byrider.
This means that when a Byrider franchise agreement ends, the franchisee's access to Byrider's proprietary software also ends. This includes the software used for managing "buy-here-pay-here" automobile sales and collections. The franchisee must transition to a new system for managing their business operations.
However, Byrider is obligated to provide the franchisee with the necessary data to manage existing accounts receivable and facilitate a smooth closure or transfer of the business. This ensures that the franchisee can still collect outstanding payments and manage the transition effectively. The franchisee must also return all BYRIDER Computer Software to Byrider upon termination or expiration of the Franchise Agreement.