Does the Pump It Up franchisee have to pay for Enhancements to the Software?
Pump_It_Up Franchise · 2025 FDDAnswer from 2025 FDD Document
-------------------------------------------------------------------------------|-----------------------------------------------------------------------------------------| | HOLDINGS, LLC ("Franchisor") and ("Franchisee") pursuant to a Franchise | | | Agreement dated (the "Franchise Agreement") under which Franchisee will operate an | | | open play family entertainment and party business under Franchisor's business system (the "System") | | | located at | |
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- Franchisor hereby grants to Franchisee a nonexclusive, nonassignable license to use the computer programs, in object code form ("Software"), listed in the schedule to this Software License (the "Schedule"). The Schedule may be updated from time to time by Franchisor to include enhancements, upgrades or replacements ("Enhancements") to the Software, which Franchisor will make available to Franchisee from time to time at a reasonable cost.
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- In consideration for the rights granted herein, Franchisee shall pay to Franchisor a fee equal to one dollar ($1.00) upon execution hereof.
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- Franchisee shall use the Software only in the operation of the System at the location indicated above or other locations approved or designated in writing by Franchisor. Franchisee may not modify, copy, translate or reproduce in any form all or any part of the Software without the prior written consent of Franchisor. Such consent will be given solely to the extent required for use of the Software in the operation of the System. Franchisee shall not make available the Software, the user and operating manuals thereto, or any copy thereof to any party except as described below in Paragraph 4. Franchisee shall not reverse assemble, reverse compile or otherwise recreate the Software.
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- All copies of the Software, including any produced by Franchisee with Franchisor's consent, are and shall be the sole and exclusive property of Franchisor or authorized third parties during and after the term of this Software License. Franchisee acknowledges and agrees that Franchisor may secure all or any part of the Software from third parties. Franchisee agrees to execute and deliver to Fr
Source: Item 23 — RECEIPTS (FDD pages 60–225)
What This Means (2025 FDD)
According to the 2025 Pump It Up Franchise Disclosure Document, Pump It Up franchisees may have to pay for software enhancements. The franchisor, Pump It Up Holdings, LLC, grants the franchisee a nonexclusive, nonassignable license to use the computer programs which may be updated from time to time to include enhancements, upgrades, or replacements to the software.
Pump It Up will make these enhancements available to the franchisee from time to time at a reasonable cost. This means that while the initial software license is granted, franchisees should anticipate ongoing expenses related to keeping their software current.
In addition to potential costs for software enhancements, the franchisee is responsible for telecommunication expenses if the software requires a connection to a remote computer designated or approved by Pump It Up. The franchisee also agrees to pay any sales, use, ad valorem, personal property and general intangibles tax and any registration fees arising out of the software license, except for any taxes imposed upon the gross income of the franchisor.