Is the license granted to the franchisee for the Floyds 99 software exclusive or non-exclusive?
Floyds_99 Franchise · 2025 FDDAnswer from 2025 FDD Document
16. SOFTWARE LICENSE
16.1 Grant of License. The Franchisor will license one or more proprietary computer software programs (the "Software") to the Franchisee for use in the operation of the FLOYD'S 99 Shop, including any modifications or revisions thereto, all documentation (other than the Software) related to the Software, the tangible media upon which such programs are recorded and the database file structure thereof (collectively, the "Program"). The Franchisor hereby grants to the Franchisee a nonexclusive, nontransferable, fully paid license to use the Program (the "License") for the term hereof, and agrees to provide updates for the Program for the term hereof. The parties agree as follows:
- a. The Program shall be installed on the computer equipment designated by the Franchisor as meeting its specifications (the "Designated Equipment").
b.
Source: Item 22 — CONTRACTS (FDD pages 57–58)
What This Means (2025 FDD)
According to the 2025 Floyds 99 Franchise Disclosure Document, the software license granted to franchisees is nonexclusive. Floyds 99 licenses proprietary computer software programs for use in the operation of the barbershop.
This means that Floyds 99 retains the right to license the same software to other franchisees or even use it themselves. The franchisee's license is also nontransferable, meaning they cannot transfer the license to another party. However, the license is fully paid for the term of the agreement, and Floyds 99 agrees to provide updates for the program during the term.
The Floyds 99 franchisee must install the software on computer equipment designated by Floyds 99 as meeting its specifications. This ensures that the software operates correctly and is compatible with the franchisor's systems. The franchisee is granted the license to use the Program for the term of the Franchise Agreement.