What is the role of Higharc in providing construction-related services to Epcon Communities franchisees?
Epcon_Communities Franchise · 2025 FDDAnswer from 2025 FDD Document
are hereby acknowledged, the parties hereto agree as follows, each intending to be legally bound hereby.
-
- All capitalized terms herein which are not separately defined herein shall have the meanings ascribed to these terms in the Franchise Agreement.
-
- In the event of a conflict between the terms of the Franchise Agreement and the terms of this Addendum, the terms of this Addendum shall control.
-
- Except as specifically modified by this Addendum, all terms of the Franchise Agreement are in full force and effect.
-
- The Addendum and the Franchise Agreement are hereinafter collectively referred to as the "Agreement".
-
- A third-party, Higharc Inc. ("Higharc"), pursuant to a contract with Franchisor, provides certain construction related services through a cloud-based platform for use by Franchisor and qualifying Epcon Communities franchisees. Those services, which may change from time-to time without prior notice to Franchisee, may include all or part of the following: access by Franchisee to the current versions of the eight primary detached plans that are part of the "P-Series" (Palazzo, Portico, Promenade, Provenance) and "R-Series" (Capri, Salerno, Torino, Verona) of the Franchisor's Development System, which plans Franchisor may change from time to time in accordance with the terms of the Franchise Agreement (the "Plans"); a community management tool that shows available Units and inventory Units; enhanced sales and marketing materials that allow for personalization of the Plans for each homebuyer's choices; the creation of job-specific construction drawings that match each homebuyer's structural option selections; and the generation of job-specific key measure reports for guidance in estimating quantities of materials needed for construction of a Unit (collectively, the "Higharc Services").
Franchisee, upon execution of this Addendum, shall be granted the non-exclusive right to access and use the Higharc Services, upon the terms and conditions set forth in this Addendum and the Franchise Agreement. Upon the execution of this Addendum, Franchisor shall cooperate and work with Franchisee to implement the use of the Higharc Services solely in connection with Franchisee's development of the Project and sales of the Units in the Project.
Franchisee shall at all times comply with any and all terms and conditions of Higharc related to the use of the Higharc Services. Franchisee's compliance with such terms and conditions shall be determined by Franchisor and/or Higharc in their sole discretion. In addition, as one of the conditions of its right to use the Higharc Services, Franchisee agrees to accept and abide by any conditions of use published or provided by Franchisor from time to time in connection with the Higharc Services. Franchisee's compliance with such terms and conditions shall be determined by Franchisor in its sole discretion.
Source: Item 23 — RECEIPTS (FDD pages 86–280)
What This Means (2025 FDD)
According to the 2025 Epcon Communities Franchise Disclosure Document, Higharc Inc., a third-party, provides certain construction-related services to Epcon Communities franchisees through a cloud-based platform, pursuant to a contract with the franchisor. These services may change without notice and can include access to current versions of eight primary detached plans that are part of the "P-Series" (Palazzo, Portico, Promenade, Provenance) and "R-Series" (Capri, Salerno, Torino, Verona). These plans are part of Epcon Communities' Development System, which Epcon Communities may change from time to time according to the Franchise Agreement.
Higharc's services also include a community management tool displaying available and inventory units, enhanced sales and marketing materials allowing for personalization of the Plans for each homebuyer, creation of job-specific construction drawings matching each homebuyer's structural option selections, and generation of job-specific key measure reports for guidance in estimating quantities of materials needed for construction of a Unit. These services are collectively referred to as the "Higharc Services."
Upon executing an addendum, an Epcon Communities franchisee is granted a non-exclusive right to access and use the Higharc Services, subject to the terms and conditions outlined in the addendum and the Franchise Agreement. Epcon Communities will cooperate with the franchisee to implement the use of Higharc Services specifically for the development of the Project and sales of Units in the Project. The franchisee must comply with all terms and conditions of Higharc related to the use of these services, with compliance determined by Epcon Communities and/or Higharc.
Epcon Communities retains the right to suspend, limit, or revoke a franchisee's access to Higharc Services if the franchisee, its agents, employees, or owners fail to comply with the requirements and obligations pertaining to the Higharc Services. However, even if access is suspended, limited, or revoked, the franchisee's obligation to pay the Technology Royalty continues without reduction until all amounts owed to Epcon Communities are paid in full.