Is a Hardees franchisee required to use proprietary software programs, system documentation manuals, and other proprietary materials, and if so, who determines the requirements?
Hardees Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee shall: (1) use the proprietary software program, system documentation manuals and other proprietary materials now and hereafter required by HR in connection with the operation of the Franchised Restaurant; (2) if requested by HR, execute HR's standard software license or similar Agreement; (3) input and maintain in Franchisee's computer such data and information as HR prescribes in the OPM, software programs, documentation or otherwise; (4) purchase new or upgraded software programs, system documentation manuals and other proprietary materials at then-current prices whenever adopted system-wide by HR;
Franchisee acknowledges that computer systems are designed to accommodate a finite amount of data and terminals, and that, as these limits are reached, or as technology or software is developed in the future, HR may, in its sole discretion, mandate that Franchisee: (A) add memory, ports and other accessories or peripheral equipment or additional, new or substitute software to the original computer system purchased by Franchisee; and (B) replace or upgrade the entire computer system with a larger system capable of assuming and discharging the computer-related tasks and functions specified by HR.
Source: Item 22 — Contracts (FDD page 85)
What This Means (2025 FDD)
According to Hardees's 2025 Franchise Disclosure Document, franchisees are required to use proprietary software programs, system documentation manuals, and other proprietary materials. Hardees Restaurants LLC ("HR") determines the requirements for these materials.
The franchisee must use the specified proprietary materials in connection with the operation of the franchised restaurant. If requested by Hardees, the franchisee must execute Hardees' standard software license or similar agreement. The franchisee is also responsible for inputting and maintaining data and information as prescribed by Hardees in the OPM (Operation Procedures Manual), software programs, documentation, or otherwise.
Furthermore, franchisees are obligated to purchase new or upgraded software programs, system documentation manuals, and other proprietary materials at then-current prices whenever Hardees adopts them system-wide. This ensures that all Hardees locations operate with the same standards and technology. Hardees also has the discretion to mandate that franchisees add memory, ports, accessories, peripheral equipment, or new software to their original computer systems, or even replace/upgrade the entire system with a larger one to handle computer-related tasks specified by Hardees.