If an Aplus franchisee suspects a security breach, what immediate action is required?
Aplus Franchise · 2024 FDDAnswer from 2024 FDD Document
5.8.1. Franchisor may designate the information system used in the Franchised Business, including the computer hardware, software other equipment and enhancements (the "Information System"). If the Franchisee suspect or know of a security breach, the Franchisee shall immediately give notice of such security breach and promptly identify and remediate the source of any compromise of security breach at the Franchisee's expense. The Franchisee assumes all responsibility for providing all notices of breach or compromise and all duties to monitor credit histories and transactions concerning customers of the Franchised Business unless otherwise directed by the Franchisor.
Source: Item 23 — RECEIPT (FDD pages 68–302)
What This Means (2024 FDD)
According to Aplus's 2024 Franchise Disclosure Document, if a franchisee suspects or knows of a security breach, they must immediately notify Aplus of the breach. The franchisee is also required to promptly identify and fix the source of the security breach at their own expense.
Furthermore, the Aplus franchisee is responsible for providing all notices of the breach or compromise. Unless Aplus directs otherwise, the franchisee must monitor credit histories and transactions concerning customers of the franchised business.
This places a significant responsibility on the Aplus franchisee to not only detect and report security breaches but also to manage the immediate response and ongoing monitoring, potentially incurring costs for remediation and customer protection.