Is Engineering For Kids obligated to develop Required Software for franchisees?
Engineering_For_Kids Franchise · 2025 FDDAnswer from 2025 FDD Document
the Computer System (together, "Required Software"), which you must install and/or access and use;
- (b) updates, supplements, modifications, or enhancements to the Required Software, which you must install and/or access and use;
- (c) the tangible media upon which such you must record or receive data; and
- (d) the database file structure of your Computer System.
- 8.5.3. You agree to install and/or access and use the Computer System and Required Software in the manner that we require.
- 8.5.4. You agree to implement and periodically upgrade and make other changes to the Computer System and Required Software as we may reasonably request in writing (collectively, "Computer Upgrades").
- 8.5.5. You agree to comply with the specifications that we issue with respect to the Computer System and the Required Software, and with respect to Computer Upgrades, at your expense, which may include monthly licensing and support fees and/or other charges (including for example and without limitation, charges for installation, set-up and/or training) due to the supplier of such services and/or items (which suppliers may include us or our affiliates). You also agree to afford us unimpeded access to your Computer System and Required Software, including all information and data maintained thereon, in the manner, form, and at the times that we request.
- 8.5.6. You agree that all data pertaining to, derived from, or displayed in connection with the Franchised Business (including, without limitation, any data that you collect or develop regarding the Franchised Business' customers, clients and participants and potential customers, but excluding consumers' credit card and/or other payment information), whether or not uploaded to our system from your system, and/or downloaded from your system to our system ("Data"), is deemed to be owned exclusively by us. We will have the right to use such Data in any manner that we deem appropriate without compensation to you. With respect to any Data from your Franchise Business that we maintain, we grant a royalty-free non-exclusive license to you to use the Data while this Agreement (including any successor agreement) is in effect, but only in connection with operating the Franchised Business and only in accordance with the policies that we periodically establish (which may include, without limitation, terms and conditions relating to use, retention, storage and/or removal).
Source: Item 23 — RECEIPTS (FDD pages 53–138)
What This Means (2025 FDD)
According to the 2025 Engineering For Kids Franchise Disclosure Document, Engineering For Kids does not explicitly commit to developing required software for franchisees. Instead, the FDD indicates that franchisees are responsible for implementing, upgrading, and making changes to the computer system and required software as reasonably requested by Engineering For Kids. These changes are referred to as "Computer Upgrades."
Engineering For Kids franchisees must comply with the specifications issued by Engineering For Kids regarding the computer system, required software, and computer upgrades. The franchisee bears the expenses associated with these upgrades, which may include monthly licensing and support fees, as well as charges for installation, setup, and training. These fees are paid to the supplier of such services or items, which may include Engineering For Kids or its affiliates.
Furthermore, Engineering For Kids requires unimpeded access to the franchisee's computer system and required software, including all information and data maintained on it. All data pertaining to the franchised business is owned exclusively by Engineering For Kids, who has the right to use such data in any manner they deem appropriate without compensating the franchisee. The franchisee is granted a royalty-free, non-exclusive license to use the data only for operating the franchised business and marketing Engineering For Kids programs and services, in accordance with Engineering For Kids' policies.