What happens if a Desi District franchisee fails to upgrade software as required?

According to Desi District's 2024 Franchise Disclosure Document, franchisees are required to acquire and use all software and related systems that Desi District requires. This includes entering into any subscription and support agreements that Desi District may require. Franchisees must also upgrade, update, or replace any software as Desi District requires from time to time. Additionally, franchisees are responsible for protecting the confidentiality and security of all software systems and must abide by any System Standards related to them.

While the FDD excerpt specifies the franchisee's obligations regarding software, it does not explicitly state the consequences of failing to comply with these requirements. However, the FDD does state that Desi District may change, add, or delete System Standards at any time in its discretion. Desi District may inform Franchisee thereof by any method that Desi District deems appropriate.

To fully understand the ramifications of not upgrading software as required, a prospective Desi District franchisee should ask the franchisor for specific details about the penalties or corrective actions that may be imposed. This information is crucial for making an informed decision about investing in a Desi District franchise.