Does the Carls Jr. agreement specify that the Licensor can modify the Content from time to time?
Carls_Jr Franchise · 2025 FDDAnswer from 2025 FDD Document
- 1.1 License. Licensor grants Licensee a non-exclusive, non-transferable license to use the online Web sites and Web-based applications set forth on Exhibit A to access the Licensed Program and Content offered under the terms of this Agreement solely for Licensee's internal operations at each Franchised Restaurant at which Licensee remains Franchisor's franchisee in good standing ("License"). Licensor has the right to add, modify and/or remove features and elements of the Licensed Program and Content from time to time, without notice to, or the consent of, Licensee. Any data and reports generated by Licensee's use of the Licensed Program and Content are owned solely by Licensor.
- 1.2 Use of Licensed Program and Content. Licensee shall use the Licensed Program and Content solely for the purposes Licensor expressly permits from time to time in writing and in strict compliance with the standards issued in writing from time to time by Licensor. When accessing the Licensed Program and Content, Licensee shall follow any instructions issued in writing by Licensor.
- 1.3 Ownership; Proprietary Rights. Licensee acknowledges and agrees that (a) Vendor owns or is the licensee of the Licensed Program and Licensor owns the Content; and (b) the copyright, patent, trademark, trade secret, and all other intellectual property rights of whatever nature in the Licensed Program and Content are and shall remain the property of Licensor, Vendor or other third parties, as applicable, and nothing in this Agreement should be construed as transferring any aspects of such rights to Licensee or any third party. Licensee shall not alter or delete the intellectual property notices or any other proprietary legends or marks as may be specified on the Licensed Program and Content.
Source: Item 23 — RECEIPTS (FDD pages 76–364)
What This Means (2025 FDD)
According to the 2025 Carls Jr. Franchise Disclosure Document, the Licensor has the right to modify the Licensed Program and Content from time to time. Specifically, Carls Jr. has the right to add, modify, and/or remove features and elements of the Licensed Program and Content without providing notice or obtaining consent from the franchisee.
This means that Carls Jr. franchisees must use the online websites and web-based applications as specified in Exhibit A to access the Licensed Program and Content. The license granted to the franchisee is non-exclusive and non-transferable, intended solely for the franchisee's internal operations at each franchised restaurant, provided the franchisee remains in good standing with Carls Jr.
Carls Jr. retains ownership of any data and reports generated through the franchisee's use of the Licensed Program and Content. Furthermore, franchisees must adhere to Carls Jr.'s written standards and instructions when accessing and using the Licensed Program and Content. The franchisee acknowledges that Carls Jr. owns the Content, and the intellectual property rights remain with Carls Jr., the Vendor, or other third parties. Franchisees are prohibited from altering or deleting any intellectual property notices on the Licensed Program and Content.