Does Engineering For Kids have the right to determine how the Technology Fee will be used?
Engineering_For_Kids Franchise · 2025 FDDAnswer from 2025 FDD Document
against us or others. You also agree that you will not, on grounds of any alleged non-performance by us or others, withhold payment of any fee, including without limitation Royalty fees or Advertising Contributions, nor withhold or delay submission of any reports due hereunder including but not limited to Sales Reports.
3.6. Technology Fee
You must pay us an ongoing monthly "Technology Fee" that we require, at such times and in such amounts as we may designate. The Technology Fee as of the Agreement Date is Two Hundred Dollars ($200) per month, but we reserve the right to increase this fee, provided that any increase will not exceed a monthly increase of Twenty-Five Dollars ($25) during any twelve (12) month period. You must pay the Technology Fee at the same time as, and in the same manner, as the Royalty fee pursuant to Sections 3.2 and 3.3 above, unless we otherwise specify in writing an alternative time and method of payment. We have the right to determine how and for what purposes the Technolog
Source: Item 23 — RECEIPTS (FDD pages 53–138)
What This Means (2025 FDD)
According to Engineering For Kids' 2025 Franchise Disclosure Document, Engineering For Kids retains the right to determine how the Technology Fee is used. The Technology Fee is an ongoing monthly fee that the franchisee must pay. As of the Agreement Date, this fee is $200 per month.
The FDD states that Engineering For Kids reserves the right to increase the Technology Fee, but any increase will not exceed $25 per month during any 12-month period. The franchisee must pay the Technology Fee at the same time and in the same manner as the Royalty fee, unless Engineering For Kids specifies otherwise in writing.
Engineering For Kids has the right to determine how and for what purposes the Technology Fee will be used. These purposes may include paying for services provided by approved third-party providers to some or all Engineering For Kids businesses, and the costs to develop, implement and/or license software, applications and other technologies. Engineering For Kids also has the right to modify the use of the Technology Fee as it determines appropriate.