Regarding Itan, what must I do with any Improvement developed by me?
Itan Franchise · 2025 FDDAnswer from 2025 FDD Document
- **17.5.
Improvements**.
If you (or your Owner or employee) conceive of or develop an Improvement, you must send us a notice describing the Improvement.
You must obtain our approval prior to using the Improvement.
Any Improvement we approve may be used by us and any Person we authorize to operate a Salon, without any obligation to pay royalties or other fees to you or any other Person.
You or your Owner or employee, as applicable, must assign ownership of the Improvement to us or our designee, without charge, together with all associated intellectual property rights, including the right to grant sublicenses.
If applicable Law precludes you from assigning ownership to us, then you must grant us a perpetual royalty-free license to use, commercialize and sublicense the Improvement in any manner we deem appropriate.
Source: Item 23 — RECEIPT (FDD pages 44–190)
What This Means (2025 FDD)
According to Itan's 2025 Franchise Disclosure Document, if you, your owner, or your employee develops an Improvement, you must first send Itan a notice describing the Improvement. An Improvement is defined as any idea, addition, modification, or improvement to goods or services offered at the salon; the method of operation; processes, systems, or procedures; marketing, advertising, or promotional materials; or intellectual property utilized by a salon.
Before using the Improvement in your Itan salon, you must obtain approval from Itan. If Itan approves the Improvement, Itan and any person they authorize to operate a salon can use it without paying you royalties or other fees.
You, your owner, or employee must assign ownership of the Improvement to Itan or their designee without any charge. This assignment includes all associated intellectual property rights, including the right to grant sublicenses. However, if applicable law prevents you from assigning ownership to Itan, you must grant Itan a perpetual, royalty-free license to use, commercialize, and sublicense the Improvement in any manner they deem appropriate.