What agreement must an Itan franchisee sign regarding the use of proprietary Technology Systems?

According to Itan's 2025 Franchise Disclosure Document, if Itan or its affiliate develops proprietary Technology Systems that become part of the Itan System, franchisees must, upon request, sign Itan's prescribed form of license agreement governing the use of these proprietary Technology Systems. This agreement would cover the terms and conditions under which the franchisee can use the technology.

This requirement ensures that Itan maintains control over its proprietary technology and can set the terms of its usage by franchisees. It also allows Itan to collect licensing, support, and maintenance fees for the use of these systems. The specific terms of the license agreement are not detailed in this excerpt, but it would likely cover aspects such as usage rights, restrictions, support, updates, and termination conditions.

For a prospective Itan franchisee, this means they need to be prepared to enter into a separate license agreement for any proprietary technology developed by Itan. They should carefully review the terms of this agreement to understand their rights and obligations, including any fees associated with the technology. It is also important to understand what happens to the technology and related data upon termination or expiration of the franchise agreement. Franchisees should seek clarification on the specific terms and conditions of this license agreement during their due diligence process.