Who is responsible for personnel and agents to whom Annex Brands passwords are distributed?

According to Annex Brands' 2025 Franchise Disclosure Document, the franchisee is responsible for the personnel and agents to whom they distribute passwords for accessing Annex Brands' Intranet, email, and website portals. This responsibility extends to ensuring that these individuals maintain the confidentiality of the passwords and do not disclose them to unauthorized parties.

This means that as an Annex Brands franchisee, you must exercise caution and implement appropriate security measures when distributing passwords to your employees or agents. You are accountable for their actions regarding password security and any breaches of confidentiality that may occur. This includes informing those under your supervision about their confidentiality obligations and taking steps to prevent unauthorized access to Annex Brands' systems.

The FDD also states that the franchisee agrees to indemnify and hold Annex Brands harmless for any default of confidentiality by such persons. This highlights the importance of carefully selecting and training personnel who will have access to sensitive information and systems. It is also important to have a system in place to monitor and control access to passwords and to promptly address any security concerns that may arise.

In the event of a security breach or unauthorized access due to the actions of your personnel or agents, you could be held liable for any resulting damages or losses incurred by Annex Brands. Therefore, it is crucial to prioritize password security and confidentiality to protect both your business and the franchise system as a whole.