What is the meaning of 'Computer Systems' in the context of Card My Yard's sourcing requirements?
Card_My_Yard Franchise · 2025 FDDAnswer from 2025 FDD Document
"Computer System" means the computer hardware and software (including, without limitation, back office
software and point-of-sale software meeting ourspecifications and point-of-sale terminals that we may designate from time to time for use in the operation of Card My Yard businesses.
- (1) You agree to comply with all of our standards and specifications for the purchase of all inventory, supplies, materials, fixtures, furnishings, equipment, Computer Systems, and other products used or offered for sale at the Card My Yard business. If we have approved or designated suppliers (which may include us or our Affiliates or third party manufacturers, distributors and other sources) for any such item, you agree to obtain these items from those suppliers. Our approved or designated suppliers are those who demonstrate on a continuing basis the ability to meet our standards and specifications; who have adequate quality controls and the capacity to supply the needs of the Card My Yard business franchise network promptly and reliably over an extended period of time; and who have been approved in writing by us and who have not thereafter been disapproved by us. We may designate ourselves, our Affiliates or a third party as an approved or designated supplier, or as the sole approved or designated supplier of any item.
You agree to use the Computer System (if any) that we specify from time to time for use in the operation of the Card My Yard business.
You acknowledge that we may modify the specifications and the components of any such Computer System from time to time.
As part of the Computer System, we may require you to obtain specified computer hardware and/or software, including, without limitation, a license to use Software Programs developed by us or others.
Changes to the Computer System specifications may require you to incur costs to purchase,lease and/or license new or modified computer hardware and/or software and to obtain service and support for the Computer System during the term of this Agreement.
Within sixty (60) days after you receive notice from us, you agree to obtain the components of the Computer System that we require.
You further acknowledge and agree that we have the right to charge a reasonable systems fee for any software or systems modifications and enhancements specifically made for us that are licensed to you and other maintenance and support services that we or our Affiliate may furnish to you.
You agree to install and maintain all hardware and software needed to access the Internet at the bit speed we require from time to time.
You further agree that you will not establish any website or other listing on the Internet except as provided herein and expressly authorized by us.
- (1) Without our prior written approval, which we may give or withhold in our sole discretion, you may not develop, create, generate, own, or otherwise use any computer and/or electronic media (including but not limited to the Internet, blogs, social media and podcasts) in connection with the Card My Yard business.
Source: Item 23 — RECEIPTS (FDD pages 84–259)
What This Means (2025 FDD)
According to Card My Yard's 2025 Franchise Disclosure Document, 'Computer System' refers to the computer hardware and software necessary for operating a Card My Yard franchise. This includes back-office and point-of-sale software that meets Card My Yard's specifications, as well as any point-of-sale terminals designated by Card My Yard.
As a Card My Yard franchisee, you are required to comply with all standards and specifications for purchasing Computer Systems. If Card My Yard has approved or designated specific suppliers, including themselves or their affiliates, you must purchase these systems from those suppliers. Card My Yard can designate themselves, their affiliates, or a third party as the approved supplier, potentially even as the sole supplier. This means franchisees may not have a choice in selecting their computer systems and must adhere to Card My Yard's approved sources.
Card My Yard may modify the specifications and components of the Computer System, which could require franchisees to purchase, lease, or license new or modified hardware and software, incurring additional costs for service and support. Franchisees acknowledge that the future costs of the Computer System are uncertain and may not be fully amortizable over the term of the agreement, but they still agree to incur these costs. Franchisees must obtain the required Computer System components within 60 days of receiving notice from Card My Yard.
Furthermore, Card My Yard has the right to charge a reasonable systems fee for software or system modifications, enhancements, maintenance, and support services provided by them or their affiliates. Franchisees must also install and maintain hardware and software to access the internet at the speed Card My Yard requires. They are prohibited from establishing any unauthorized websites or online listings related to the Card My Yard business without prior written approval from Card My Yard, giving Card My Yard significant control over the franchisee's online presence.