Does Pearce Bespoke reserve the right to charge a POS Maintenance Fee?
Pearce_Bespoke Franchise · 2025 FDDAnswer from 2025 FDD Document
[Item 22: CONTRACTS]
P. Point-of-Sale System.
Franchisee will utilize the point-of-sale system designated by the Franchisor (the "POS System") which Franchisor has selected for the Business System, including all future updates, supplements, and modifications. Franchisee may be required to enter into a separate computer software license agreement specified by a third-party supplier of the POS System. Franchisor may access information and data produced by Franchisee's POS System. As further described in Section 5(C), Franchisor has the right to use the information obtained from Franchisee's POS System to determine the weekly amounts owed for Royalty Fees. The computer hardware component of the POS System must conform with specifications Franchisor develops and must be configured as a package unit as Franchisor designates. The POS System may include one (1) iPad, one (1) desktop/laptop computer, and one (1) all-in-one printer. Franchisee will be required to utilize and, at Franchisor's discretion, pay for all future updates, supplements, and modifications to the POS System. Franchisee may be required to update its POS System every five (5) years or less, depending on updates in technology and Franchisor's current standards. Franchisor reserves the right to charge a POS Maintenance Fee. Franchisor will provide a minimum of thirty (30) days' written notice prior to implementation of such fee. It is Franchisee's responsibility to make sure that Franchisee is in compliance with all laws that are applicable to the POS System or other technology custom in the operation of Franchisee's Business, including all data protection or security laws as well as PCI compliance.
Source: Item 22 — CONTRACTS (FDD page 39)
What This Means (2025 FDD)
According to the 2025 Pearce Bespoke Franchise Disclosure Document, Pearce Bespoke does reserve the right to charge a POS Maintenance Fee to its franchisees. The FDD specifies that franchisees are required to use the point-of-sale system (POS System) designated by Pearce Bespoke, including all future updates, supplements, and modifications.
Pearce Bespoke may access information and data produced by the franchisee's POS System and use this data to determine the weekly royalty fees owed. The computer hardware component of the POS System must conform to Pearce Bespoke's specifications and be configured as a package unit as designated by Pearce Bespoke. The POS System may include one iPad, one desktop/laptop computer, and one all-in-one printer.
Franchisees are required to utilize and, at Pearce Bespoke's discretion, pay for all future updates, supplements, and modifications to the POS System. Franchisees may be required to update their POS System every five years or less, depending on updates in technology and Pearce Bespoke's current standards. Pearce Bespoke will provide a minimum of thirty days' written notice prior to implementation of the POS Maintenance Fee. It is the franchisee's responsibility to comply with all laws applicable to the POS System, including data protection, security laws, and PCI compliance.