Does Face Foundrie have an obligation to develop or designate computer software programs for franchisees?
Face_Foundrie Franchise · 2025 FDDAnswer 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 does not have an obligation to develop or designate computer software programs for franchisees. While Face Foundrie retains the right to specify or require certain computer systems and hardware, the development or designation of software is at their discretion.
Specifically, Face Foundrie has the right, but not the obligation, to develop, have developed, or designate computer software programs and accounting system software that franchisees must use. This includes the right to specify required software, updates, tangible media for data recording, and the database file structure.
However, if Face Foundrie chooses to develop or designate software, franchisees are obligated to use it in connection with the computer system and install any updates or modifications. Franchisees are also required to make upgrades and changes to the computer system and required software as requested by Face Foundrie in writing and to remain compliant with Face Foundrie's standards. Franchisees may also be required to pay fees to support and upgrade the computer system and required software, potentially to Face Foundrie or a designated third party.