When does Beggars Pizza own the data created or collected by the franchisee?
Beggars_Pizza Franchise · 2025 FDDAnswer from 2025 FDD Document
- 8.5 Data.
All data provided by Franchisee, uploaded to Franchisor's system from Franchisee's system, downloaded from Franchisee's system to Franchisor's system, and/or obtained electronically or otherwise from Franchisee by Franchisor, is and will be owned exclusively by Franchisor, and Franchisor may use such data in any manner that Franchisor deems appropriate without compensation to Franchisee.
In addition, all other data created or collected by Franchisee in connection with the System, or in connection with Franchisee's operation of the Restaurant (including, without limitation, consumer and transaction data), is and will be owned exclusively by Franchisor during the term of, and following termination or expiration of, the Agreement.
Copies and/or originals of such data must be provided to Franchisor upon Franchisor's request.
Franchisor hereby licenses use of such data back to Franchisee, at no additional cost, solely for the term of the Agreement and solely for Franchisee's use in connection with the establishment and operation of the Restaurant pursuant to the Agreement.
Source: Item 22 — CONTRACTS (FDD page 39)
What This Means (2025 FDD)
According to Beggars Pizza's 2025 Franchise Disclosure Document, Beggars Pizza maintains ownership of all data created or collected by the franchisee in connection with the Beggars Pizza system or the operation of the restaurant. This includes consumer and transaction data. This ownership is effective during the term of the Franchise Agreement and continues even after the agreement terminates or expires.
Beggars Pizza requires franchisees to provide copies or originals of this data upon request. However, Beggars Pizza licenses the use of this data back to the franchisee at no additional cost. This license is solely for the term of the agreement and only for the franchisee's use in connection with operating the Beggars Pizza restaurant.
This clause ensures that Beggars Pizza can leverage data collected across all franchise locations for marketing, operational improvements, and other strategic purposes. While franchisees can use the data to manage their local operations, they do not have the right to sell, share, or otherwise utilize the data independently beyond the scope of their franchise agreement. Prospective franchisees should understand that the customer data they collect becomes the property of Beggars Pizza, which is a common practice in many franchise systems.