factual

What is the Itan franchisee responsible for regarding the interface of Technology Systems with third parties' computer systems?

Itan Franchise · 2025 FDD

Answer from 2025 FDD Document

You are responsible for all fees, costs and expenses associated with acquiring, licensing, utilizing, updating and upgrading Technology Systems.

Certain Technology Systems must be purchased or licensed from third-party suppliers.

We and/or our affiliate may develop proprietary Technology Systems (or components thereof) that become part of our System.

If this occurs, you agree to: (i) pay us (or our affiliate) commercially reasonable licensing, support and maintenance fees; and (ii) upon request, sign our prescribed form of license agreement governing use of proprietary Technology Systems (or components thereof).

We may enter into master agreements with licensors of Third-Party Technology and charge you for amounts we pay them based on your use of their Third-Party Technology.

The technology fee includes all amounts you pay us and our affiliates relating to Technology Systems, including amounts paid for proprietary items and amounts we collect from you and remit to suppliers of Third-Party Technology.

The technology fee may change based on changes to Technology Systems or prices charged by third parties with whom we enter into master agreements.

The technology fee may include a reasonable administrative fee for the time, money and resources we invest to administer the technology platform and associated components, negotiate and manage contracts with third-party licensors, and collect and remit technology fees owed to third-party licensors on behalf of franchisees under master license arrangements.

The technology fee does not include amounts you pay directly to third-party suppliers.

The technology fee is due 10 days after invoicing or as we otherwise specify.

We list the current technology fee in the Manual.

Source: Item 23 — RECEIPT (FDD pages 44–190)

What This Means (2025 FDD)

According to Itan's 2025 Franchise Disclosure Document, the franchisee is responsible for all fees, costs, and expenses associated with acquiring, licensing, utilizing, updating, and upgrading Technology Systems, some of which must be purchased or licensed from third-party suppliers. Itan, and/or its affiliate, may develop proprietary Technology Systems that become part of their System, in which case the franchisee must pay commercially reasonable licensing, support, and maintenance fees and sign Itan's prescribed form of license agreement.

Itan may enter into master agreements with licensors of Third-Party Technology and charge the franchisee amounts they pay them based on the franchisee's use of their Third-Party Technology. The technology fee includes all amounts the franchisee pays Itan and its affiliates relating to Technology Systems, including amounts paid for proprietary items and amounts Itan collects from the franchisee and remits to suppliers of Third-Party Technology. The technology fee may change based on changes to Technology Systems or prices charged by third parties with whom Itan enters into master agreements.

The technology fee may include a reasonable administrative fee for the time, money, and resources Itan invests to administer the technology platform and associated components, negotiate and manage contracts with third-party licensors, and collect and remit technology fees owed to third-party licensors on behalf of franchisees under master license arrangements. The technology fee does not include amounts franchisees pay directly to third-party suppliers and is due 10 days after invoicing or as Itan otherwise specifies. The current technology fee is listed in the Manual.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.