factual

Is Face Foundrie obligated to develop computer software programs for franchisees?

Face_Foundrie Franchise · 2025 FDD

Answer from 2025 FDD Document

  • (b) Franchisor shall have the right, but not the obligation, to develop or have developed for it, or to designate: (i) computer software programs and accounting system software that Franchisee must use in connection with the Computer System, and established digital applications, and any successor technology or replacement thereto ("Required Software"), which Franchisee shall install; (ii) updates, supplements, modifications, or enhancements to the Required Software, which Franchisee shall install; (iii) the tangible media upon which such Franchisee shall record data; and (iv) the database file structure of Franchisee's Computer System.

  • (c) Franchisee shall make, from time to time, such upgrades and other changes to the Computer System and Required Software as Franchisor may request in writing, and Franchisor may periodically require Franchisee, at its expense, to upgrade or update the Computer System and Required Software to remain in compliance with the standards, specifications and requirements required by Franchisor (collectively, "Computer Upgrades").

Source: Item 22 — CONTRACTS (FDD pages 73–74)

What This Means (2025 FDD)

According to Face Foundrie's 2025 Franchise Disclosure Document, Face Foundrie has the right, but not the obligation, to develop computer software programs for franchisees. Specifically, Face Foundrie can develop, have developed, or designate computer software programs and accounting system software that franchisees must use in connection with the Computer System, established digital applications, and any successor technology or replacement. These programs are referred to as "Required Software," which the franchisee is then required to install.

Face Foundrie also has the right to develop updates, supplements, modifications, or enhancements to the Required Software, which the franchisee must install. They can also designate the tangible media upon which the franchisee records data and the database file structure of the franchisee's Computer System.

Furthermore, Face Foundrie franchisees are required to make upgrades and changes to the Computer System and Required Software as requested in writing by Face Foundrie. Face Foundrie may periodically require franchisees to upgrade or update the Computer System and Required Software at the franchisee's expense to remain compliant with Face Foundrie's standards and specifications. These changes are referred to as "Computer Upgrades."

This means that while Face Foundrie is not obligated to create software, they have extensive rights to specify, require, and modify the computer systems and software used in the franchise. The franchisee is responsible for installing and maintaining these systems, including covering the costs of upgrades, updates, and technology licenses. This arrangement ensures uniformity across all Face Foundrie Facial Bars but places the financial burden of technology-related expenses on the franchisee.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.