What must a Craters & Freighters franchisee do regarding the Proprietary Software?
Craters_Freighters Franchise · 2025 FDDAnswer from 2025 FDD Document
oughout the Initial Term and any Successor Term, according to the requirements and standards established by Franchisor.
- 6.7 Proprietary Software, Other Software, and Hardware. During this Agreement, Franchisor will grant Franchisee with the right to use the Proprietary Software. Franchisee agrees to use the Proprietary Software and comply with all rules and requirements established by Franchisor from time to time relating to such Proprietary Software. Franchisee must purchase any additional select software, hardware (which will accept the software required by Franchisor), dedicated telephone and power lines, and other computer related accessories, peripherals, and equipment as required by Franchisor. Franchisee must obtain high-speed communication access for its computer system such as broadband, DSL, or other high-speed capacity. Franchisee agrees to maintain such computer system and software program in good repair at its expense. The aggregate cost of Franchisee's obligations to carry out upgrades of the computer system, addition of components to the computer system, and replacement of components to the computer system will not exceed Five Thousand Dollars ($5,000) per year during the term of this Agreement. Franchisee acknowledges that Franchisor cannot estimate the cost of maintaining, updating, or upgrading Franchisee's computer system or software, as such cost will depend on Franchisee's repair history and local cost of computer maintenance services in its area and technological advances, which Franchisor cannot predict.
- 6.8 Franchisee's Responsibilities Relating to Vulnerability of Computer Systems. Franchisee acknowledges and understands that computer systems are vulnerable to computer viruses, bugs, power disruptions, communication line disruptions, Internet access failures, Internet content failures, date-rel
Source: Item 22 — CONTRACTS (FDD pages 49–50)
What This Means (2025 FDD)
According to the 2025 Craters & Freighters Franchise Disclosure Document, Craters & Freighters will grant the franchisee the right to use its Proprietary Software during the agreement. The franchisee must use the Proprietary Software and adhere to all rules and requirements established by Craters & Freighters relating to the software. The Proprietary Software serves as the central platform for processing customer jobs, managing royalty reports, and streamlining operations.
The franchisee is obligated to purchase any additional select software, hardware, dedicated telephone and power lines, and other computer-related accessories and equipment as required by Craters & Freighters. They must also secure high-speed communication access for their computer system, such as broadband or DSL. The franchisee is responsible for maintaining the computer system and software in good repair at their own expense.
The FDD states that the aggregate cost for upgrades, additions, and replacements to the computer system will not exceed $5,000 per year during the term of the agreement. However, Craters & Freighters cannot estimate the total cost of maintaining, updating, or upgrading the franchisee's computer system due to variations in repair history, local service costs, and technological advancements. Franchisees must also acknowledge the vulnerabilities of computer systems to viruses, bugs, power disruptions, and hacking attempts.