What is the franchisee's responsibility regarding the cost to identify and remediate the source of any compromise of security breach at their Basecamp Fitness studio?

According to Basecamp Fitness's 2025 Franchise Disclosure Document, the franchisee is responsible for covering the expenses associated with identifying and fixing the cause of any security breach at their Basecamp Fitness studio. This includes the cost to promptly identify and remediate the source of any compromise of security breach.

This means that if a franchisee's studio experiences a data breach, they are responsible for hiring experts to investigate the breach, determine how it happened, and implement solutions to prevent future breaches. These costs can include forensic analysis, software updates, hardware replacements, and other security measures.

Furthermore, the franchisee assumes all responsibility for providing all notices of breach or compromise and all duties to monitor credit histories and transactions concerning members and other customers of the Basecamp Studio, unless otherwise directed by Basecamp Fitness. This could involve notifying affected customers, offering credit monitoring services, and taking other steps to mitigate the damage caused by the breach. Franchisees must comply with all laws and regulations relating to privacy and data protection and must comply with any privacy policies or data protection and breach response policies Basecamp Fitness may establish.