What must an Itan franchisee provide upon request, including termination of the agreement, regarding Technology Systems?
Itan Franchise · 2025 FDDAnswer from 2025 FDD Document
You agree to take all steps necessary to provide us with independent and unlimited access to data collected by or through your Technology Systems, including Gross Sales data for purposes of calculating fees owed.
Upon request, including upon termination or expiration of this Agreement, you must provide us with user IDs and passwords for your Technology Systems.
Source: Item 23 — RECEIPT (FDD pages 44–190)
What This Means (2025 FDD)
According to Itan's 2025 Franchise Disclosure Document, franchisees must provide user IDs and passwords for their Technology Systems upon request, including upon termination or expiration of the Franchise Agreement. This requirement ensures that Itan retains access to the data collected by the Technology Systems, even after the franchise relationship ends. This access likely allows Itan to maintain consistency across the brand, analyze sales data, and protect its business interests.
It is important to note that franchisees are responsible for all fees, costs, and expenses associated with acquiring, licensing, utilizing, updating, and upgrading the Technology Systems. Some of these systems may need to be purchased or licensed from third-party suppliers. Itan may also develop proprietary Technology Systems for which franchisees would need to pay commercially reasonable licensing, support, and maintenance fees.
Furthermore, Itan will provide franchisees with iTAN email addresses and accounts that must be exclusively used for all communications related to the Salon. Itan retains the right to view these email accounts and emails at any time. Franchisees must also take steps to provide Itan with independent and unlimited access to data collected through the Technology Systems, including Gross Sales data for calculating fees owed. These stipulations highlight the importance of franchisees maintaining accurate records and complying with Itan's technology standards to ensure smooth operations and data accessibility for the franchisor.