What happens to the computer software licensed by Checkers upon termination of the franchise agreement?
Checkers Franchise · 2025 FDDAnswer from 2025 FDD Document
- (g) immediately cease to use all computer software licensed by us or any of Affiliates and comply with your obligations under any software license agreements;
Source: Item 22 — CONTRACTS (FDD pages 91–92)
What This Means (2025 FDD)
According to Checkers' 2025 Franchise Disclosure Document, upon termination of the franchise agreement, the franchisee must immediately cease using all computer software licensed by Checkers or its affiliates. The franchisee must also comply with their obligations as outlined in any software license agreements. This requirement is part of the broader obligations a franchisee faces upon exiting the Checkers system.
This means a franchisee can no longer operate the Checkers business using the licensed software. This includes any point-of-sale systems, inventory management tools, or other proprietary software provided by Checkers. The franchisee is responsible for ensuring they understand and adhere to the terms of any separate software license agreements, which may include additional steps for deactivation or data removal.
This provision protects Checkers's intellectual property and ensures that franchisees do not continue to benefit from the brand's resources after the franchise relationship ends. It is a standard practice in franchising to revoke access to proprietary software and systems upon termination to maintain brand consistency and prevent unauthorized use of confidential information.